Texas Ismaili Muslims Targeted in Investment Fraud, SEC Says

A Dallas man and an investment enterprise he controlled were hit with an SEC lawsuit alleging they perpetrated a fraud and Ponzi scheme targeting members of the Ismaili Muslim community.

Since at least 2021, Arsalan Rawjani falsely represented to investors that he operated a successful pooled-investment program offering guaranteed monthly dividends and principal protection through profitable options trading, the Securities and Exchange Commission said in a Sept. 5 complaint in the US District Court for the Northern District of Texas.

In fact, Rawjani paid most “returns” using new investor money rather than trading profits, misappropriated millions for himself and his ...