The U.S. Securities and Exchange Commission (SEC) has filed charges against Ernest Ossei Boateng and his two New Jersey-based companies, Intercontinental Wealth Network LLC and I Wealth Network LP, for allegedly operating a $16 million Ponzi scheme affecting over 200 investors. The case, filed on October 9, 2026, marks another enforcement action in the SEC's ongoing crackdown on investment fraud.

According to the SEC complaint, Boateng and his firms promised investors high returns from purported cryptocurrency and forex trading activities. Instead, the SEC alleges the operation used new investor funds to pay earlier investors while misappropriating millions for personal expenses. The defendants face civil securities fraud charges in the U.S. District Court for the District of New Jersey.

The SEC's complaint (Case No. 2:26-cv-07891) details how the scheme operated from January 2021 through September 2026. Boateng allegedly solicited funds primarily from Ghanaian-American investors, promising 25-35% annual returns through his companies' trading programs. Marketing materials claimed the firms had $50 million under management and partnerships with major financial institutions.

Investigators found that only about $9.8 million of the $16 million raised was actually invested, with $4.2 million paid out as fake returns to maintain the scheme. Boateng allegedly diverted $2 million for personal use, including luxury car payments and international travel. The SEC obtained an emergency asset freeze and seeks disgorgement of ill-gotten gains plus civil penalties.

This case highlights persistent vulnerabilities in alternative investment markets, particularly those targeting diaspora communities. The SEC noted this was at least the fourth enforcement action in 2026 involving Ponzi schemes masquerading as crypto or forex investment platforms.

Regulators emphasize the importance of verifying investment adviser registrations through SEC's IAPD database, as neither company was properly registered. The case may accelerate scrutiny of community-based investment clubs and informal wealth networks that operate outside traditional brokerage channels.

Ponzi schemes remain a priority for the SEC's Division of Enforcement, which has brought 43 similar actions since 2023. This case follows established patterns where operators target tight-knit communities with promises of exclusive, high-yield opportunities.

The SEC's complaint references 12 bank accounts and 3 cryptocurrency wallets used to commingle funds. Forensic accountants traced transactions showing less than 15% of investor funds were actually traded in markets as claimed. New Jersey Bureau of Securities assisted in the investigation.

The court will schedule hearings on the SEC's request for permanent injunctions against all defendants. Parallel criminal investigations by the U.S. Attorney's Office for New Jersey are likely, given the scale of alleged fraud.

Investors are directed to contact the SEC's Office of Investor Education and Advocacy at 1-800-SEC-0330 or visit www.investor.gov. The SEC maintains a dedicated webpage for this case with court documents and claim procedures.

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