Shortly after obtaining a $45 million judgment against California attorney Jeanne Rowzee for securities fraud, William Buus obtained another $45 million judgment, this time against Ms. Rowzee's partner in the securities fraud scheme, James Richard Halstead. The lawsuit, filed early last year, alleged that both Ms. Rowzee and Mr. Halstead were conducting a "Ponzi" scheme, which is a form of securities fraud where the schemers use invested money for their own personal uses and to pay returns to other investors. S&B represented 45 plaintiffs in the action, whose net losses totaled just over $14 million. The $45 million judgment is comprised of those losses, plus punitive damages.
Within a couple of days after the judgment was entered, James Halstead was indicted by a federal grand jury for his role in the "Ponzi" scheme. The indictment included charges of wire fraud and money laundering.