A.W. Smith & Associates, Inc.

I have known Bill Smith for many years through church associations. When I retired in 2015 and was debating what to do with my 401k I had an unexpected encounter with Bill and was explaining my dilemma and he said "you need to come and see me." I did and we discussed where to invest my money and eventually he suggested Spectrum. He gave me media articles about the expanding telecommunications industry and the need for FCC licenses. What I read and heard sounded reasonable and a reasonable investment. What I didn't know was the bandwidth for the license Spectrum was purportedly pursuing was of little value. Eventually I began to become suspicious but by then it was too late. I was told by Bill that my investment was non-refundable. I probably lost more than any of his investors in this fraudulent scheme. Bill also recommended I invest a sizable amount in Collins Asset Group (who appear legitimate) and funneled the money through Sonoqui Commercial Loan who would then forward the money to Collins. Unfortunately Sonoqui was a shell company (I believe set up by Daryl Banks who also is under indictment) from which funds were siphoned off. Since this company no longer exists there apparently are no records of my investment going to Collins. So far I have lost hundreds of thousands of dollars because of Bill and there may yet be more loses. I trusted Bill and that now was a mistake. I don't know if he is criminal in his conduct (from what I've read it would appear), but I do know that he had a responsibility to his investors to make sure their money was not being invested in fraudulent schemes. He didn't do that and there is NO excuse and peoples lives have been adversely affected. For that he is accountable and there should be consequences. RTB

I am in receipt of your February 27, correspondence, as well as Mrs [redacted] ***’s February 25, Complaint, which includes unfounded and conclusory allegations seeking to tarnish my business reputation and the reputation of my companyAs a financial consultant with over three decades of experience and a Revdex.com (“Revdex.com”) rating of A+, I pride myself on conducting my business with the highest degree of ethical and professional standards, and providing sound financial advice to my clients, including Mrs***The simple truth is that Mrs [redacted] has not lost any money with [redacted] investmentIn fact, just yesterday I received information from administrator of [redacted] that [redacted] , pursuant to its contract with [redacted] ***, has expanded its services and that six (6) sites have been activated The administrator of [redacted] expects that by the end of the month, four (4) of these six (6) sites will begin producing revenue streams to the [redacted] offerI have continually advised Mrs [redacted] that this investment is a time risk and have always kept her apprised of developments with this investmentI have even put Mrs***’s son in contact with the [redacted] administrator so that he can hear first-hand what developments have occurred and when his mother may expect to see a return on her investmentHowever, instead of exhibiting patience, Mrs [redacted] has chosen to recklessly file this Complaint based on rumors and unproven allegations of an SEC investigationI would like you to consider the following information regarding the [redacted] investment, my role as a financial consultant and the reality of Mrs***’s financial position and spending patternsMrs [redacted] and her late husband came to me for financial advice in connection with retirement planningAfter reviewing Mrs [redacted] income and spending patterns, I advised that 85% of her and her husband’s savings be placed in fixed, guaranteed accounts, which they were; that their lifestyle would have to be downsized; and that they should not exceed distributions of 5% per year to preserve their fundsThe reality of Mrs***’s financial situation, as is true for many retirees, is that she did not have the savings necessary to maintain her standard of living at the time of retirementUnfortunately, Mrs [redacted] ignored my professional advice and routinely spent down these accounts in an attempt to maintain her pre-retirement lifestyle, which only accelerated once her husband passedThe [redacted] investment made up approximately 14% of Mrs***’s overall investment strategyI thoroughly informed Mrs [redacted] of the risks and potential benefits associated with this investment, specifically the fact that this investment was a time riskAt no time did I promote the [redacted] investment with “promises of substantial returns,” as Mrs [redacted] allegesMrs [redacted] was provided and reviewed the Investment Offering for [redacted] ***, which conspicuously states the risks associated with this investment (the first risk listed is “time”)The profession of a financial consultant, as opposed to a broker or money manager, does not involve the direct management of client fundsThe fact that Mrs [redacted] wrote a check directly to Summit Trust Company for the [redacted] investment is commonplace in the financial consulting industry and certainly not indicative of any wrongdoingMrs***’s accusation that this direct transfer of money was a mechanism for me to absolve myself of liability is outrageous, just as is Mrs***’s attempt to somehow impute liability to me and my company based on a pending SEC action, in which neither I nor my company are defendants, and in which there has been no finding of fraud or any other wrongdoing against the parties that are namedI have at all times conducted my business with the highest degree of ethical standards and professionalism, and provided well founded advice to Mrs [redacted] to attain a balanced investment strategy tailored to achieve her financial goalsBeyond that, I cannot control how Mrs [redacted] spends her money, and although Mrs [redacted] may presently need the money invested in [redacted] ***, the [redacted] investment is not fraudulent and is expected to produce cash flow in the near futureIf there is any further information that you require, or if you would like to discuss the matters discussed herein, please do not hesitate to contact meSincerely, [redacted] ***

I invested a large sum through Bill Smith into what turned out to be a fraudulent scheme. The people who were running the scheme are scheduled for trial by the FBI on multiple counts.

Bill has now vanished without a trace. All phone numbers disconnected with no forwarding number, website de-activated, office space reportedly closed. (I'll verify personally soon.)

Caveat emptor!

I am in receipt of your February 27, 2016 correspondence, as well as Mrs. [redacted]’s February 25, 2016 Complaint, which includes unfounded and conclusory allegations seeking to tarnish my business reputation and the reputation of my company. As a financial consultant with over three decades of...

experience and a Revdex.com (“Revdex.com”) rating of A+, I pride myself on conducting my business with the highest degree of ethical and professional standards, and providing sound financial advice to my clients, including Mrs. [redacted]. The simple truth is that Mrs. [redacted] has not lost any money with [redacted] investment. In fact, just yesterday I received information from administrator of [redacted] that [redacted], pursuant to its contract with [redacted], has expanded its services and that six (6) sites have been activated.  The administrator of [redacted] expects that by the end of the month, four (4) of these six (6) sites will begin producing revenue streams to the [redacted] offer. I have continually advised Mrs. [redacted] that this investment is a time risk and have always kept her apprised of developments with this investment. I have even put Mrs. [redacted]’s son in contact with the [redacted] administrator so that he can hear first-hand what developments have occurred and when his mother may expect to see a return on her investment. However, instead of exhibiting patience, Mrs. [redacted] has chosen to recklessly file this Complaint based on rumors and unproven allegations of an SEC investigation. I would like you to consider the following information regarding the [redacted] investment, my role as a financial consultant and the reality of Mrs. [redacted]’s financial position and spending patterns. Mrs. [redacted] and her late husband came to me for financial advice in connection with retirement planning. After reviewing Mrs. [redacted] income and spending patterns, I advised that 85% of her and her husband’s savings be placed in fixed, guaranteed accounts, which they were; that their lifestyle would have to be downsized; and that they should not exceed distributions of 5% per year to preserve their funds. The reality of Mrs. [redacted]’s financial situation, as is true for many retirees, is that she did not have the savings necessary to maintain her standard of living at the time of retirement. Unfortunately, Mrs. [redacted] ignored my professional advice and routinely spent down these accounts in an attempt to maintain her pre-retirement lifestyle, which only accelerated once her husband passed. The [redacted] investment made up approximately 14% of Mrs. [redacted]’s overall investment strategy. I thoroughly informed Mrs. [redacted] of the risks and potential benefits associated with this investment, specifically the fact that this investment was a time risk. At no time did I promote the [redacted] investment with “promises of substantial returns,” as Mrs. [redacted] alleges. Mrs. [redacted] was provided and reviewed the Investment Offering for [redacted], which conspicuously states the risks associated with this investment (the first risk listed is “time”). The profession of a financial consultant, as opposed to a broker or money manager, does not involve the direct management of client funds. The fact that Mrs. [redacted] wrote a check directly to Summit Trust Company for the [redacted] investment is commonplace in the financial consulting industry and certainly not indicative of any wrongdoing. Mrs. [redacted]’s accusation that this direct transfer of money was a mechanism for me to absolve myself of liability is outrageous, just as is Mrs. [redacted]’s attempt to somehow impute liability to me and my company based on a pending SEC action, in which neither I nor my company are defendants, and in which there has been no finding of fraud or any other wrongdoing against the parties that are named. I have at all times conducted my business with the highest degree of ethical standards and professionalism, and provided well founded advice to Mrs. [redacted] to attain a balanced investment strategy tailored to achieve her financial goals. Beyond that, I cannot control how Mrs. [redacted] spends her money, and although Mrs. [redacted] may presently need the money invested in [redacted], the [redacted] investment is not fraudulent and is expected to produce cash flow in the near future. If there is any further information that you require, or if you would like to discuss the matters discussed herein, please do not hesitate to contact me. Sincerely,  [redacted]

Bill Smith of A. W. Smith and Associates has been the trusted, personal and business advisor to this firm for years. He has consistently provided sound, trustworthy and reliable advice and counsel on a variety of business and financial matters. We are indeed fortunate to have this beneficial relationship for both our clients and staff. Bill is a valuable asset.

Review: AW Smith & Associates advertised and helped to broker a fraudulent investment opportunity ([redacted]) (Case [redacted]). I was misled by promises of substantial returns through the sale or lease of the FCC licenses to major wireless carriers - [redacted].

When I inquired about the fraud and the status of my funds, AW Smith & Associates maintained that the fraudulent [redacted] investment was "sound" and would start to pay off shortly. This investment was made more that two years ago no money has been returned at any time.

The 3rd party organization handling my investment funds, [redacted], also has been charged with a fraud complaint by the SEC ([redacted]). When I contacted [redacted] for the status the funds, it reported that the funds could not be returned and that the company had to reorganize as a result of the fraudulent activity and associated charges.

Despite the multiple SEC fraud complaints pertaining to the individuals and business that AW Smith & Associates have partnered with, it continues to purport that investment is legitimate. When I informed AW Smith & Associates that I would no longer like to do business with the company and for its help in efforts to return my investment money, AW Smith & Associates declined to comply.

AW Smith & Associates protects itself by having investors write checks directly to the 3rd party ([redacted]) so that it can be absolved from liability. AW Smith & Associates promotion and solicitation of fraudulent investments opportunities desigend to take advantage of elderly retirees (such as myself) certainly should not allow for an A+ rating from the Revdex.com.

Although I don't expect to get my investment back, I would like to warn others to do their due diligence before making investment with this firm. A simple [redacted] search and a broker check from [redacted] should be performed.Desired Settlement: As a recently widowed retiree surviving on Social Security, my preferred resolution AW Smith and Associates help in the return of my original investment funds.

Business

Response:

I am in receipt of your February 27, 2016 correspondence, as well as Mrs. [redacted]’s February 25, 2016 Complaint, which includes unfounded and conclusory allegations seeking to tarnish my business reputation and the reputation of my company. As a financial consultant with over three decades of experience and a Revdex.com (“Revdex.com”) rating of A+, I pride myself on conducting my business with the highest degree of ethical and professional standards, and providing sound financial advice to my clients, including Mrs. [redacted]. The simple truth is that Mrs. [redacted] has not lost any money with [redacted] investment. In fact, just yesterday I received information from administrator of [redacted] that [redacted], pursuant to its contract with [redacted], has expanded its services and that six (6) sites have been activated. The administrator of [redacted] expects that by the end of the month, four (4) of these six (6) sites will begin producing revenue streams to the [redacted] offer. I have continually advised Mrs. [redacted] that this investment is a time risk and have always kept her apprised of developments with this investment. I have even put Mrs. [redacted]’s son in contact with the [redacted] administrator so that he can hear first-hand what developments have occurred and when his mother may expect to see a return on her investment. However, instead of exhibiting patience, Mrs. [redacted] has chosen to recklessly file this Complaint based on rumors and unproven allegations of an SEC investigation. I would like you to consider the following information regarding the [redacted] investment, my role as a financial consultant and the reality of Mrs. [redacted]’s financial position and spending patterns. Mrs. [redacted] and her late husband came to me for financial advice in connection with retirement planning. After reviewing Mrs. [redacted] income and spending patterns, I advised that 85% of her and her husband’s savings be placed in fixed, guaranteed accounts, which they were; that their lifestyle would have to be downsized; and that they should not exceed distributions of 5% per year to preserve their funds. The reality of Mrs. [redacted]’s financial situation, as is true for many retirees, is that she did not have the savings necessary to maintain her standard of living at the time of retirement. Unfortunately, Mrs. [redacted] ignored my professional advice and routinely spent down these accounts in an attempt to maintain her pre-retirement lifestyle, which only accelerated once her husband passed. The [redacted] investment made up approximately 14% of Mrs. [redacted]’s overall investment strategy. I thoroughly informed Mrs. [redacted] of the risks and potential benefits associated with this investment, specifically the fact that this investment was a time risk. At no time did I promote the [redacted] investment with “promises of substantial returns,” as Mrs. [redacted] alleges. Mrs. [redacted] was provided and reviewed the Investment Offering for [redacted], which conspicuously states the risks associated with this investment (the first risk listed is “time”). The profession of a financial consultant, as opposed to a broker or money manager, does not involve the direct management of client funds. The fact that Mrs. [redacted] wrote a check directly to Summit Trust Company for the [redacted] investment is commonplace in the financial consulting industry and certainly not indicative of any wrongdoing. Mrs. [redacted]’s accusation that this direct transfer of money was a mechanism for me to absolve myself of liability is outrageous, just as is Mrs. [redacted]’s attempt to somehow impute liability to me and my company based on a pending SEC action, in which neither I nor my company are defendants, and in which there has been no finding of fraud or any other wrongdoing against the parties that are named. I have at all times conducted my business with the highest degree of ethical standards and professionalism, and provided well founded advice to Mrs. [redacted] to attain a balanced investment strategy tailored to achieve her financial goals. Beyond that, I cannot control how Mrs. [redacted] spends her money, and although Mrs. [redacted] may presently need the money invested in [redacted], the [redacted] investment is not fraudulent and is expected to produce cash flow in the near future. If there is any further information that you require, or if you would like to discuss the matters discussed herein, please do not hesitate to contact me. Sincerely, [redacted]

Review: In December of 2012 I went to see [redacted]l Smith of A.W. Smith & Associates, Inc. after hearing an advertisement on the radio about protecting your assets. Mr. Smith advised he had an investment that was full-proof and would make you money in 10 years. My wife and I visited him at his office and he told us that if we invested 25,000. it would pay us back at least 2 times in 10 years. My wife asked this must be a pyramid, Mr. Smith replied emphatically that it was not. (It is a pyramid!) We returned for another office visit to sign papers and Mr. Smith wanted $50,000. Mr. Smith advised he had my husbands approval. I said no and [redacted]l signed the papers anyway. This Mr. Smith is a Snake Oil Salesman just as in the old west. days. We have received approximately 700. on our investment as of 8/2014. I have called repeatedly about this matter to Mr. Smith. Finally about a month ago he tells us the trust company has closed down the Dental Franchises. As of a statement dated 6/30/2014 we had a balance of $50,450. I ASKED WHERE IS MY MONEY MR. SMITH ADVISED A LETTER WOULD BE FORTHCOMING AND WOULD GIVE US OUR MONEY BACK. THE LETTER SAYS NOTHING ABOUT THAT JUST THE PROGRAM IS CLOSED. I want to know who has my money and how do I recover it. We are going to file suit and a class action suit as there must be hundreds of people that have been duped by this man and his company (which is conventily located in Arizona). [redacted]l [redacted]. and [redacted]Desired Settlement: Return all of the $50,000. Someone has our money it can't have disappeared off the face of the earth. Some funny bookkeeping is going on. This business should not have an A+ rating. How many other people have lost their life savings???

Business

Response: