Attorney General announces $2 million judgment against fraudulent Englewood-based business brokers | Attorney General - State of Colorado

Attorney General announces $2 million judgment against fraudulent Englewood-based business brokers

DENVER — Colorado Attorney General John Suthers announced today that an Arapahoe County District Court judge has approved a settlement barring Tyrone E. Tymkovich (DOB: 12/30/1977) of Aurora and Sam Levine (DOB: 2/1/1967) of Castle Rock from soliciting or defrauding Colorado businesses through their business brokerage. Tymkovich and Levine will be required to pay $1 million each to the state in fines and restitution.

According to the Office of the Attorney General’s lawsuit, filed in December 2009, Tymkovich and Levine defrauded more than 700 businesses in Colorado and other states between July 2006 and September 2009 through their two Englewood-based businesses, Corporate Acquisitions Group and Global Acquisitions Group. Tymkovich and Levine approached businesses and informed them that either buyers were interested in acquiring their firms or their businesses could be sold. Tymkovich, Levine and their employees convinced their victims to allow them to conduct an appraisal of their business for $5,000. Of the $5,000 Tymkovich and Levine’s businesses collected from their clients, only about $1,000 of the fee was actually devoted to completing the appraisals.

Under the settlement, neither Tymkovich nor Levine will be allowed to act as business brokers for any new clients or solicit upfront appraisal fees from any existing clients. The settlement also requires that Tymkovich and Levine notify the Office of the Attorney General of any commissions paid by existing clients and demonstrate that these commissions are the result of actual brokered sales.

The Office of the Attorney General obtained a contempt order against Tymkovich earlier this month after he admitted to continuing to solicit businesses using the alias “Adam Smith” for a New Jersey based company, HDI Consultants. Under the contempt order, which stemmed from his violation of a Feb, 18, 2010 court order, Tymkovich was required to pay $160,000.