Deepal Wannakuwatte Investigated by FBI for Ponzi Scheme

Deepal Wannakuwatte

According to the Federal Bureau of Investigation (FBI), Sacramento-based businessman Deepal Wannakuwatte has been ordered to pay millions of dollars in restitution following allegations that he operated a Ponzi scheme.

According to the FBI, Wannakuwatte “fooled his investors and his lenders” and “fraudulently obtained in excess of $230 million from more than 150 victims, including individuals, businesses, government agencies, and financial institutions,” which he used to finance separate business ventures, “line his own pockets,” and operate the investment fund as a Ponzi scheme. The securities and investment fraud law firm Fitapelli Kurta is interested in hearing from investors who have complaints regarding Mr. Wannakuwatte.

Deepal Wannakuwatte allegedly operated his Ponzi scheme for more than ten years, informing his investors that his companies, International Manufacturing Group (IMG) and Relyaid Global Health Care, “were involved in the international manufacture and sale of latex gloves,” according to the FBI. Mr. Wannakuwatte allegedly stated that these businesses “tens of millions of dollars in business with federal agencies every year, most notably the Department of Veterans Affairs,” which was false.

According to the FBI, Deepal Wannakuwatte “offered his investors several different bogus high-yield investment opportunities, most of which related to his purported relationship with the VA.” He allegedly presented customers with “phony corporate documents” in addition to “actual personal and corporate tax returns” that overstated his income and annual gross receipts for IMG.

The FBI also alleges that Mr. Wannakuwatte “set up fake conference calls between himself, a potential investor, and someone he falsely claimed was a VA representative” with the intent of convincing customers he had a “significant business relationship” with the FA and persuade them that his scheme was legitimate. “Unfortunately,” according to the FBI, “it wasn’t.”

Many of Deepal Wannakuwatte’s investors “lost everything,” according to the FBI. Some of them lost home equity or funds from their retirement accounts; others suffered losses that “threatened their financial stability and reputations.” Meanwhile, according to the FBI, “Wannakuwatte purchased luxury homes, vehicles, airplanes, and even a professional tennis team.”

If you have lost money investing with Deepal Wannakuwatte or in a Ponzi scheme, you may be able to recover your losses. Call the securities and investment fraud law firm Fitapelli Kurta at 877-238-4175 for a free consultation. Fitapelli Kurta takes every case on a contingency basis, which means Fitapelli Kurta only gets paid if and when you collect money. By law there may be a limited window to file your claim, so we recommend you avoid delay. Call 877-238-4175 now to speak to an attorney for free.