Former registered representative in Texas arrested for internet Ponzi scheme

A former registered rep in Texas, who promoted himself as a financial maven through radio advertising and financial seminars in the Dallas-Fort Worth area, was arrested on Monday following his indictment on charges related to the multi-million-dollar sale of investments in an internet advertising company. Bobby Eugene Guess, who was registered with six firms from 1984 to 2010, according to BrokerCheck, was indicted on December 15 for securities fraud, theft, money laundering and engaging in organized criminal activity, according to the Texas State Securities Board. The indictment alleges that Mr. Guess and sales associates sold $6 million in notes, stock certificates and investment contracts in a Dallas company called StaMedia Inc. Mr. Guess is the founder and CEO of Texas First Financial in Frisco, according to the Texas Securities Board. Mr. Guess did not return a call to Texas First Financial on Wednesday. According to the firm's website, Mr. Guess is the author of a book to help investors, “Robbed with a Pen Again: A Guide to Protecting Your Assets.” Although he has promoted and sold high-yielding securities in various investment programs, Mr. Guess has not been licensed to sell securities in Texas since 2011, according to the Texas Securities Board. “Texas First Financial is a full-service firm with advisers having over 70 years of combined experience in the financial services industry,” according to the company's web site. “As asset managers we help investors of all ages develop a plan to accomplish their financial goals. Success is attained only when your family's financial objectives become reality.” The indictments allege Mr. Guess perpetrated a Ponzi scheme in raising money for investments in two separate companies. Investor funds raised through Mr. Guess were allegedly used to repay previous investors in StaMedia the returns they were promised. Mr. Guess also failed to disclose that funds raised from investors in StaMedia were used to repay investors in TenList Inc., a company owned by two associates of Mr. Guess. Mr. Guess allegedly raised millions from investors in StaMedia from 2014 to 2016 without disclosing StaMedia had negligible revenue and net income since its founding in 2013, according to the indictment, which also alleges that Mr. Guess concealed ongoing federal investigations into his sale of investments.