Fraudster Pocketed $2.4M, Used Investor Cash for Own Homes!

SEC v. Joshua Thomas Jackson — U.S. Securities and Exchange Commission Litigation Release No. 26345, dated July 11, 2025.

The SEC charged Joshua Thomas Jackson with defrauding investors out of approximately $2.4 million through fraudulent real estate investment schemes. Jackson allegedly misrepresented how investor funds would be used, instead diverting a significant portion for personal benefit and to repay other investors.

In Plain English

Imagine you give money to someone to help build a specific house, like investing in a small project. This person promised to use your money for that house and pay you back with profits. Instead, they used most of the money for other things, like fixing up different properties they owned or paying back other people they had borrowed from, not for your specific project.

Disclaimer: all facts are drawn from the SEC's own filings; the claims described are allegations unless and until a court rules or the parties settle, and some cases end in dismissal.

How the Alleged Scheme Worked

1. Promising Real Estate Investments From August 2019 through May 2021, Joshua Thomas Jackson solicited investments from 13 individuals. He promised that their funds would be used to purchase and renovate residential properties or to fund larger real estate development projects.
2. Guaranteeing Returns and Security Jackson assured investors that their principal would be returned. He also promised monthly interest payments, a share of the profits from the specific projects, and that their investments would be secured by a security interest in the acquired real property.
3. Selling Promissory Notes To formalize these investments, Jackson sold approximately $2.65 million in promissory notes to these investors, creating a veneer of legitimate financial instruments.
4. Misrepresenting Fund Usage Contrary to his promises, Jackson allegedly used only a small portion of the investors' funds as represented in the investment agreements.
5. Diverting Funds for Personal Benefit A large portion of the investors' money was instead used to renovate properties in which the investors had no interest, for Jackson's personal benefit and for his other businesses.
6. Using Funds for Ponzi-Like Payments Jackson also allegedly used investor funds to repay other investors, indicating a classic Ponzi-like structure where new investor money is used to pay off earlier investors rather than fund legitimate projects.
7. Causing Investor Losses As a result of these fraudulent actions, investors suffered losses totaling approximately $2.4 million.

The Enforcement Action

On July 8, 2025, the U.S. Securities and Exchange Commission charged former Texas resident Joshua Thomas Jackson with defrauding investors through real estate investment schemes. The SEC’s complaint, filed in the United States District Court for the Eastern District of Texas, alleges Jackson fraudulently sold approximately $2.65 million in promissory notes to 13 investors from August 2019 through May 2021. The complaint charges Jackson with violating antifraud provisions of the Securities Act of 1933 and the Securities Exchange Act of 1934. The SEC seeks injunctions, disgorgement and prejudgment interest, and civil money penalties.

Named in this action: Joshua Thomas Jackson.

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