Richmond woman accused of orchestrating $13M Ponzi scheme from Stockton that targeted Tongan community
STOCKTON - A Richmond woman is accused of orchestrating a Ponzi scheme that targeted the Tongan community and stole more than $13 million from over 1,000 people, authorities say.
On Tuesday, US Attorney Phillip A. Talbert announced a 30-count federal indictment against Tilila Siola'a Walker Sumchai, 61, of Richmond, charging her with wire fraud, mail fraud, securities fraud, and the sale of unregistered securities,
According to court documents, between January 2021 and October 2021, Walker Sumchai carried out a scheme from her Stockton office to defraud investors in the United States, Australia, and New Zealand.
Claiming to use a secret algorithm, Walker Sumchai allegedly solicited Tongan investors, promising them that if they gave her money to purchase shares of the "Tongi Tupe" investment program, she would invest the money, and they would receive their investments back plus thousands of dollars in returns within weeks or months, Talbert said. She also promised investors that if they gave her $30,000, within months, they would get a home in Lodi worth approximately $480,000.
Walker Sumchai then allegedly took investors' money, paid back the earlier investors, and also used it for her own personal expenses, including gambling. Talbert says Walker Sumchai accepted money from over 1,000 investors, totaling $13 million.
If convicted of mail fraud or wire fraud, Walker Sumchai faces up to 20 years in prison and a $250,000 fine for each count of conviction. If convicted of securities fraud, she faces up to 20 years in prison and a $5 million fine. If convicted of the remaining securities-related counts in the indictment, she faces a maximum statutory penalty of five years in prison and a $10,000 fine for each count.
If you believe that you were victimized by Walker Sumchai or have information relevant to this investigation, you're asked to complete the online form available at https://www.fbi.gov/tongitupevictims.
This case is the product of an investigation by the Federal Bureau of Investigation and the San Joaquin County District Attorney's Office.
You can read the full indictment, here.