Feb 13, 2013

Pay Up: Morton Owes in SEC Fraud Case

Two year case comes to a close as Morton is ordered to pay millions in 'psychic scheme'
Sean David Morton (pictured above) was accused by the SEC of defrauding
millions from investors

How many psychic readings would $11,535,382.18 buy?  Apparently not enough for self proclaimed psychic Sean David Morton to see that would be the amount he is now liable for paying from his involvement in what the SEC called a 'psychic scheme' that Morton used to swindle investors out of millions of dollars.

Judge Katherine B. Forrest today issued a final order of judgement against Morton and other defendants, including his wife Melissa Ann Morton, commanding "disgorgement of all investor funds unlawfully diverted" by The Mortons for their personal use.  You can read the order against Sean David Morton here.

In addition to Sean David Morton being ordered to pay nearly $12mil, co-defendant Melissa Ann Morton was ordered to pay $574,128.23.  You can read the order against Melissa Ann Morton here.

The lawsuit filed by the SEC accused The Mortons of falsifying investor data, illegally diverting funds, and centered around Sean David Morton's false claims of being able to use psychic powers to predict the stock market.  The SEC contends that Morton's predictions were inaccurate and that Morton also lied about investment accounts being audited and certified.  In all, $6mil of investor money was lost with only half of that sum actually being invested.

Today's final judgement order brings an end to nearly two years of litigation that saw The Morton's attempting to bog down the courts with a plethora of inane legal briefings rambling about The Morton's being immune from U.S. jurisdiction even though they reside in the state of California.  The Morton's appeared desperate during the filings going so far as claiming to be ambassadors from something referred to as the Republic of New Lemuria.  The Mortons even provided the court copies of what they alleged were official New Lemuria credentials and claimed they had diplomatic immunity.


Anonymous said...

It looks like Sean has no problem using the courts to sue other people. Diplomatic immunity? Why can't he just man up and take responsibility for once???

Anonymous said...

Index fingers to temples... "I forsee jail time in Morton's future... I forsee a sore ass in Morton's furture.

Serves him right. Scammer, liar, thief and fraud.

Now only if we could get Kal Korff on charges like this.

Korffing Syndicate

Dave Aaron UFO CLEARING HOUSE said...
This comment has been removed by a blog administrator.
Anonymous said...

Wow, I remember him when he was a DJ at Houlihan's bar and Restaurant in Torrance Ca. back in Mid. 80's. He didn't age well.
He had a line of BS for every thing.
I can't believe anyone would fall for anything he said.
11 million? Good luck.

excalibur said...

In a very short while the SEC will ask that he and wife be held in contempt of the court. Unless this fraudster is out of the country he will be in club fed relatively soon. Unless he pays up. Trying to hide his assets will only delay the day.

Anonymous said...

He and similar scammers are promoted on late night radio, and thus given legitimacy in the minds of some insomniacs.
He, Ed Dames, Madame Paglini and their ilk no longer have to operate out of dingy front rooms of shabby bungalows or carnival tents to snag the gullible since now they have a sinister presence on the web, very like any spider.
They deserve exposure!

Stan Freidman, 1935-2019