South Bay Man Charged With Running $4M Ponzi Scheme

MANHATTAN BEACH, CA — A South Bay man has been charged in North Carolina with running a Ponzi scheme that targeted elderly and vulnerable investors, federal authorities announced in May.

Jon Patrick Kubler, 52, of Redondo Beach, is suspected of defrauding roughly 30 investors out of $4 million between December 2027 and April 2023, according to the U.S. Attorney's Office, Western District of North Carolina.

Kubler pretended to be a licensed adviser and tricked inexperienced investors into putting money towards commercial real estate properties through multiple companies he owned and operated, such as Aksarben Evolution, LLC, and Green Saddle, LLC, federal prosecutors said.

To carry out the scheme and convince investors they were making a profit, Kubler made "Ponzi-style" payments out to them using new investors' money, according to federal prosecutors. He also used a portion of their money to pay for personal expenses and make cash withdrawals, authorities said.

Kubler was charged on May 23 with securities fraud and transactional money laundering, according to federal authorities. If convicted of both charges, he faces a maximum of 30 years in prison, federal authorities said.