T
he Federal government is set to seize two homes in the Dallas-Fort Worth area due to allegations of a Ponzi-type scheme. The scheme generated $138 million from clients under the guise of making a profit buying and selling international bonds. Instead of investing these funds, the group used them for their own purposes and to pay previous investors, according to a complaint filed in district court for the Eastern District of Texas.

    The accused fraudsters include Kenneth Alexander of Axiom Financial and Vanguard Holdings Group, Caedrynn Connor of Benchmark Capital Group, Robert Welsh of FFC Capital Ventures and Christopher Fisher of Magnolia Financial Group. The proceeds from their schemes were used to purchase two properties: a $767,150 home in Fort Worth built in 1939 and a $1.94 million home in Heath, a far east suburb of Dallas built in 2023.

    The Fort Worth property was purchased by TFTWDEV Group Irrevocable Trust in Oct. 2022, with Alexander signing the deed. The Heath property was bought by Destiny Hunter LLC in May 2024 using a $1.94 million mortgage from AMGT Capital LLC, with Emily Knize signing the loan agreement for the LLC.

    The complaint alleges that Connor bought the Heath house using money made from selling his Dallas home, which he bought with funds directly traceable to victim proceeds. The Heath property has five bedrooms and six bathrooms and is estimated to be worth $1.9 million according to Zillow.

    In June, Destiny Hunter secured three more mortgages: a $721,000 mortgage for 10 Sunset Trail in Rockwall, a $417,000 mortgage for 4321 Soaring Star Lane in Mesquite, and a $239,000 mortgage for 1215 Paladao Drive in Mesquite. AMGT was the lender for all three loans.

    Prosecutors are asking the district court to forfeit both the Fort Worth and Heath properties as part of their investigation into the alleged Ponzi scheme.