Denver man defrauded dozens — including pro athletes in Colorado — through investment scheme, feds allege

A Denver man is accused of mishandling $1.3 million in investments from more than two dozen people — including professional athletes in Colorado — through a fraudulent scheme that spanned three years, according to federal authorities.

Prosecutors with the U.S. Attorney’s Office for the District of Colorado on Monday charged Ian Gregroy Bell, 35, with eight counts of wire fraud, five counts of mail fraud and five counts of money laundering, court records show. Separately, the Securities and Exchange Commission also took civil action against Bell, alleging securities fraud.

The two federal complaints portray Bell as an unemployed, unsuccessful trader who manipulated investors in order to keep money coming in even as he rapidly lost it. He did not invest at least $150,000 of the funds he received, and used investor money to pay a credit card bill and give funds to his mother, prosecutors allege.

He is also accused of taking another $180,000 out of his trading accounts and moving that money to his personal accounts without justification, the SEC alleges.

Bell’s attorney, Harvey Steinberg, declined to comment Tuesday.

Bell is accused of lying to investors about his track record as a trader, about the level of risk associated with the investments, about how he would be paid for managing the money, and about how the investments were performing, the SEC alleges.

Bell sent fake screenshots to investors that purported to show the investments were earning money when they actually were not, the SEC alleges. He repeatedly assured investors that they were making money when they were not, the SEC alleges.

“Ultimately, Bell lost all the investor money that he traded,” the SEC’s 42-page complaint reads. “In many cases, Bell lost investor money within days of receiving it.”