DISTRICT COURT,JEFFERSON COIJNTY,STATE

OF COLORADO

Court Addrcss: 100 Jcfferson County Parkway

Goldcn,Colorado 80401

Phone Number(303)271-6145

PlaintifF(s):

GEORGE MAGNANI

Defendant(s):

MARIE DALTON

Attorneys for Plaintiff:

Murray Ogbom, Atty. Reg. No. 14508

Nicole M. Quintana, Atty. Reg. No. 42675

OGBORN, SUMMERLIN & OGBORN, LLC

1700 Broadway, Suite 1900

Denver, Colorado 80290

Phone Number: (303) 861-1472

Fax Number: (303) 831-0551

Email: murray6)osolaw.com: nicole(Dosolaw.com

(lO Jcffcrsun Countt Districl Court lsl

Filing Datc: -U.y 12 20ll 2:32PY

Filing ID:37557303

ReYi.rv (:lerk: Lt|z R

COURT USE ONLY▲

Plaintiff, George Magnani ("Magnani" or "Plaintiff'), for his Complaint against Defendant

Marie Dalton ("Defendant") states and alleges as follows:

2

3

1

PARTIES AND JURISDICTION

Plaintif( at all times material to this Complaint, was a resident of the State of Califomia.

Defendant Dalton is an individual who, at all times relevant to this complaint, resided at

927 Cole Street, Golden, Colorado 80401, and is married to Richard D. Dalton, who was

allegedly engaged in the business ofinvestment management and the purchase and resale

ofprecious stones.

Jurisdiction and venue are proper in Jefferson County District Court pusuant to C.R.C.P.

98, and the amount in controversy exceeds $15,000.00.

, GO首 :肝

NT

: 11

Case No.:

COMPLAINT

Case No. 1:11-cv-02106-PAB-CBS Document 78-11 filed 10/24/13 USDC Colorado pg 1

of 6
6

4 Simplified Procedure under c.R.c.p. 16. l does not appry to this case because praintiff is seeking a monelary judgment in excess of$100,000.00 against Defendant, including any

attomey fees, penalties or punitive damages, but excluding interest and costs.

GENERAL ALLEGATIONS

Defendant' at all times rerevant to this complaint, was married to Richard D. Dalton.

Mr. Dalton has been engaging in a ponzi scheme wherein he deceived individuals into

investing large amounts ofpersonal money in his purported diamond importing business.

Mr. Magnani was one ofthose investors.

Mr. Magnani invested one hundred thousand dollars ($100,000) with Universal consulting

Resources, LLC C'UCR), Mr. Dalton,s sham./shelI company through which he conducted"

his Ponzi scheme busiaess, based on the promise of investment retums in the amount ofat

least twenty percent (20%) each month from the purchase and sale of diamonds.

In tight ofthe purported investment scheme, Mr. Dalton was acting as a broker dealer,

pursuant to Section 3(a)(4) and (5) of the federal Exchange Act, and as such, he owed. a

fiduciary duty to those individuals that invested money in'the business.

To date, Plaintiffhas received no return on his investrnent, as promised, nor has he

received a refund ofhis investrnent.

In June 2009, the Defendant purchased a home locared at 927 cole Street in Golden,

Colorado for the amount of$936,000.00 in cash. The home was titled solelv in

Defendant's name

An investigation by the u.s. Securities & Exchange commission ("SEC,,) shows that Mr.

Dalton's shell company, UCR, transfened more than $1.2 milrion in investors' funds to

Arcanum Equity Fund. An Arcanum company then transferred $910,356.44 to Guardian

Title Agency, LLC for the purchase of thai property at 927 Cole Street.

Based on that information, Mr. Dalton fraudulently transfered, for the benefit of

Defendant and the purchase ofthe home, money that was purportedly to be invested in Mr. Dalton's import business.

l3 upon information and belief, Defendant knew that such transfer ofmoney was improper,

that it was done to defraud creditors and investors.

8.

9.

11.

7.

10

‘

Case No. 1:11-cv-02106-PAB-CBS Document 78-11 filed 10/24/13 USDC Colorado pg 2

of 6
14. Defendant provided no consideration in exchange for the transfer of money to purchase the

home.

In the least, Defendant was aware of Mr. Dalton's fiduciary duties to his investors and was

aware that the funds for the home were coming from the investors' investment monies.

In addition to the funds received for the purchase of the property, Defendant's living

expenses have been subsidized by cash distributions andother wrongful allocations-of

investor money by Mr. Dalton for personal use by Defendant and Mr. Dalton.

FIRST CLAIM FOR RELIEF

(Civil Conspiracy)

Plaintiffincorporates by reference the allegations contained in paragraphs 1 through 16 as if fully set forrh herein.

Defendant and Mr. Dalton had a meeting of the minds to permanently deprive investors,

including Plaintiff, of their money.

Such deprivation was intended to be and, in fact, was accomplished by improper, illegal

transfers of money from Mr. Dalton's shell company to or for the benlfit of rjerenaait,

namely for the purchase of the house at 927 Cole Street solely in Defendant,s name and

cash disbursements to use for her and her family's benefit.

As a direct and proximate result of Defendant's unlawful overt acts and conspiracy with

Mr. Dalton, Plaintiff suffered injuries, damages, and losses in amounts to be proven at

trial.

SECOND CLAIM FOR RELIEF

(Civil Theft pursuant to C.R.S. $ lg_4_405)

Plaintiff incorporates by reference the allegations contained in paragraphs I through 20 as if fully set forth herein.

Upon information and belief, Mr. Dalton stole Plaintiff s investment monies and

transferred those and other investor funds to Defendant for purposes other than those

stated in the Agreement between Mr. Magnani and UCR/Mr. Dalton.

On information and belief, Defendant had no intent of returning such funds to plaintiff,

nor did she provide any consideration for such monies given her by Mr. Dalton.

15

16

17.

18.

19,

20.

21.

22.

23.

Case No. 1:11-cv-02106-PAB-CBS Document 78-11 filed 10/24/13 USDC Colorado pg 3

of 6
26.

27.

24' The actions of Defendant and her receipt of those monies amount to civil theft pursuant to

C.R. S. $ 1 8-4-405 and have caused Plaintiff to suffer damages and losses for which he is

entitled to treble damages, attomeys fees, and costs.

THIRD CLAIM FOR RELIEF

(Conversion)

25- Plaintiff incorporates by reference the allegations contained in paragraphs I through 24 as if fully set forth herein.

Defendant exercised dominion and ownership over Plaintiff s invested funds without his

consent and used the money as a cash payment for a house rather than for its intended purpose

as an investrnent in a diamond business.

Defendant used the money to purchase a house, as well as for other benefits to her and her family, and therefore, she cannot return plaintiff s property to him.

As a direct and proximate result of Defendant's conversion of property, plaintiff suffered

injuries, damages, and losses in amounts to be proven at trial.

T.OURTH CLAIM FOR RELIEF

(Unjust Enrichment)

29. Plaintiff incorporates by reference the allegations contained in paragraphs I through 2g as if fully set forth herein.

Defendant received the benefit of investment funds in the form of cash disbursements.

Defendant appreciated the benefit of that investment money, as reflected in the purchase of

the home that rests in her name, as well as cash disbursements she used for her and her

family's benefit.

The benefit of investment funds was accepted by Defendant under such circumstances that

it would be inequitable for it to be retained without payment of its value.

As a direct and proximate result of Defendant's unjust enrichment, plaintiff suffered

injuries, damages, and losses in amounts to be proven at trial.

30.

32.

/v

Case No. 1:11-cv-02106-PAB-CBS Document 78-11 filed 10/24/13 USDC Colorado pg 4

of 6
FIF-IH CLAIM FOR RELIEF

(Aiding and Abetting Breach of Fiduciary Duty)

34. Plaintiff incorporates by reference the allegations contained in paragraphs I through 33 as

if fully set forth herein.

35. Defendant aided and abetted Mr. Dalton in the wrongful act of taking investment funds,

which caused injury to Plaintiff.

36. On information and belief, Defendant was generally aware of her role as part of an overall

illegal or tortious activity at the time she provided the assistance.

37 . Defendant knowingly and substantially assisted Mr. Dalton in his breach of fiduciary duty

by making alrangements to purchase a home in her name only through the transfer of

funds from Mr. Dalton's business to the title company on Defendant's behalf, as well as by

accepting cash disbursements to be used for her and her family's benefit.

38. Defendant was aware of Mr. Dalton's status as a fiduciary to the investors and was aware

that the transfer and disbursement of investment funds contravened his fiduciary duty to

investors, including Plaintiff.

39. As a direct and proximate result of Defendant's actions, Plaintiff suffered injuries, losses,

and damages in amounts to be proven at trial.

WHEREFORE, PlaintiffGeorge Magnani requests this Court enterjudgment against

Defendant Marie Dalton for the following:

(a) actual damages;

(b) treble damages as permitted by law;

(c) pre-judgment interest;

(d) aftomey fees as permitted by law or contract;

(e) costs; and

(f) such other relief as the Court deems just and proper.

Case No. 1:11-cv-02106-PAB-CBS Document 78-11 filed 10/24/13 USDC Colorado pg 5

of 6
Respectfully submitted this 12,h day of May, 20I l.

V

OGBORN,SUMMERLIN&OGBORN,LLC

/s/Nicolc M.Quintana

Murray Ogbom,Atty Reg,No.14508

Nicole M.Quintana,Atty.Rcg.No.42675

1700 Broadway,Suitc 190o

Denvcr,C010rado 80290

Phonc:(303)861‐ 7472

Facsimile:(303)831-0551

Gθ rgC Mag′′

Case No. 1:11-cv-02106-PAB-CBS Document 78-11 filed 10/24/13 USDC Colorado pg 6

of 6