Real Estate Agent Admits Investment Scheme

Allison Tussey —  August 11, 2011 — Leave a comment

Nick Holquin Jr., 64, pleaded guilty in the Santa Clara County, California, Superior Court to perpetrating a securities fraud scheme against 12 victims – relying on his professional relationships with the victims, Holquin persuaded them to invest in an out-of-state real estate development project by making material misrepresentations and unlawfully withholding critical information about the investments in violations of California securities laws.

Holquin also pleaded guilty to income tax evasion and failing to file tax returns. Holquin was convicted of five felonies and faces up to three years and eight months in state prison. Sentencing in this matter will be May 26, 2011, 9:00 a.m. in Dept. 30 in the Santa Clara County Superior Court. The defendant plead guilty on March 18, 2011.

Holquin, a purported CPA and real estate agent, owned CTA Tax and Financial Services and NH The Tax Firm Inc. The victims were his clients, who retained him to prepare taxes or for real estate transactions. Relying on his professional relationships with the victims, Holquin persuaded them to invest in an out-of-state real estate development project by making material misrepresentations and unlawfully withholding critical information about the investments in violations of California securities laws. Furthermore, contrary to his promises to the victim investors, he invested none of his own money in the project, and took title of the investment property in his own name rather than in the name of investment group. His actions resulted in the victims suffering losses of over $900,000.

Additionally, as a tax preparer, Holquin failed to file income tax returns and concealed his ownership interest in a property to evade taxes.

As part of the negotiated settlement, Holquin will file all outstanding tax returns and pay all taxes and penalties due. He will also be ordered to pay restitution to the victims.

The Santa Clara County District Attorney’s Office acknowledges the excellent work in this case by Detective Dave Solis of the San Jose Police Department Financial Crimes Unit, Special Agent Tom Samlik of the Franchise Tax Board, and Attorney John Drews of the California Department of Corporations.

 

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Allison Tussey

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