Wednesday, July 22, 2009
Department of Justice
United States Attorney James R. Dedrick Eastern District of Tennessee
DENNIS R. BOLZE INDICTED FOR WIRE FRAUD AND MONEY LAUNDERING
[KNOXVILLE, TENN]— A federal grand jury has returned an indictment against Dennis R. Bolze, 60, formerly of Gatlinburg, Tennessee. This indictment, announced today by United States Attorney James R. "Russ" Dedrick, Special Agent in Charge Christopher Pikelis, Internal Revenue Service, Criminal Investigation Division, and Special Agent in Charge Richard Lambert, Federal Bureau of Investigation, Knoxville Division, was a result of an investigation by the Internal Revenue Service, Criminal Investigation Division (IRS-CI), and the Federal Bureau of Investigation (FBI).
PThe indictment charges Bolze with three counts of wire fraud and three counts of money laundering. The indictment specifically alleges that Bolze perpetrated a scheme to defraud numerous individuals who invested funds with him -- and his companies Centurion Asset Management, Inc. ("CAM") and Advanced Trading Services, Inc. ("ATS") -- by soliciting millions of dollars of funds under false pretenses, failing to invest investors’ funds as promised, and misappropriating and converting investors’ funds to BOLZE’s own benefit without the knowledge or authorization of the investors. The indictment further alleges that to execute his scheme to defraud, Bolze fraudulently represented to prospective investors that he would invest all of the funds they entrusted to him in CAM’s and ATS’s day-trading of E-mini NASDAQ futures contracts and E-mini S&P 500 futures contracts (collectively referred to as “futures contracts”). Rather than investing all of his clients’ funds in futures contracts, Bolze ran a Ponzi scheme by diverting new investor funds to existing investors, thereby lulling the existing investors into believing that they were in fact receiving a return on their investment through the day-trading of futures contracts. Bolze is charged with providing fabricated documents to investors entitled “Trader’s Invoices” that fraudulently represented to investors that he had generated profitable returns on their investments. Additionally, it is alleged that Bolze caused to be posted on the world wide web – at the address www.accesscam.net – fabricated day-trading results for the purpose of fraudulently representing to investors that he had generated returns on their investments.
United States Attorney Russ Dedrick praised the effective and quick investigation by the IRS-CI and the FBI. "Protection of our nations financial and investment institutions remains a priority of our District and the Department of Justice as we seek to protect our citizens and the integrity of their investments," Dedrick said.
The trial, which will occur in the United States District Court, in Knoxville, Tennessee, has not yet been scheduled. If convicted of all counts charged in the indictment, Bolze faces a maximum term of imprisonment of ninety (90) years.
Members of the public are reminded that indictments contain only charges. A defendant is presumed innocent of the charges and it will be the government's burden to prove a defendant's guilt beyond a reasonable doubt at trial.
For further information please contact James R. Dedrick, United States Attorney, Trey Hamilton, Assistant United States Attorney, or Sharry Dedman-Beard, Public Information Officer at 865-545-4167.