Local News

Raleigh man charged with investment fraud

Posted March 11, 2010 3:32 p.m. EST

— State authorities charged a Raleigh man Wednesday with defrauding a person out of $50,000 in a foreign currency trading scam.

Dennis Todd Hagemann, 41, faces two felony counts of securities fraud and one felony count of obtaining property by false pretenses. He was placed in the Wake County under a $250,000 secured bond.

Hagemann's arrest stemmed from an investigation of his currency trading company, Yellowstone Partners Inc., by the North Carolina Secretary of State Division of Securities.

"We believe that Mr. Hagemann essentially used a sales pitch on foreign currency trading to get funds from a victim that were then used to pay another debt, instead of being invested in such trading," Secretary of State Elaine Marshall said in a statement Thursday.

The securities division is still investigating.