Alford was the President, CEO, and co-managing member of Allied Energy Services, which was forced into bankruptcy in February 2020. From 2017 to 2019, he allegedly told investors that the company was successful. He also claimed that the company would use investors’ funds to finance its energy projects.
In reality, Allied Energy Services was struggling and Alford was using most of the funds to make interest payments to earlier investors. He also used investor funds to pay for personal expenses including the costs associated with the construction of his multi-million dollar home and contributions to political campaigns.
Alford’s alleged Ponzi scheme collapsed in 2019 when he failed to make interest payments to several investors and then failed to repay investors’ principal, or original amount of investment, in the company. During that year, Georgia authorities arrested and charged him with racketeering and attempted theft.
Alford agreed to settle with the SEC
Alford agreed to settle without admitting or denying the SEC allegations. He consented to the entry of a judgment finding that he violated the antifraud provisions of the securities laws.
