Moreover, since at least 2005, Royal West failed to record
The complaint alleges that, contrary to these claims, Royal West was not generating sufficient revenues to repay principal and interest to investors and, since at least 2002, the Cantens were operating a Ponzi scheme, raising new investor funds to pay earlier investors. Moreover, since at least 2005, Royal West failed to record approximately one third of the mortgage assignments. Finally, the Cantens misappropriated approximately $20 million of investor funds to pay themselves lavish salaries, to…