Feds say scam cost investors more than $550,000 in losses

October 31, 2019 GMT

SIOUX CITY, Iowa (AP) — A northwest Iowa man has been accused of lying to investors who authorities say lost more than $550,000 as a result.

Federal court records say Lon Friedrichsen is charged with one count of wire fraud. The records say he’s scheduled to enter a guilty plea on Nov. 25 at the U.S. District Court in Sioux City.

Court documents say the Alton resident pretended to be a professional crude oil futures trader from June 2014 through March 2018. The documents say Friedrichsen used several aliases and email addresses so he could conceal his identity from investors.

Prosecutors say Friedrichsen fraudulently boasted in online advertising that he had 30 years of trading experience and had previously worked on Wall Street and the Chicago Mercantile Exchange.