Trina A. Higgins, U.S. Attorney | U.S. Attorney's Office for the District of Utah
An indictment has been unsealed in St. George, Utah, following the arrest of a man accused of financial crimes alongside his business partner. Thomas Paul Madden, 66, from Washington City, Utah, and Jeremy Tyler Grabow, 54, from Ladera Ranch, California, have been charged with defrauding investors through their companies Cascade IR, LLC and Savitar Systems LLC.
Court documents reveal that Madden allegedly deceived investors from September 2017 by falsely promising to sell them penny stocks through Cascade. He is accused of using investor funds for Ponzi payments and personal expenses. This scheme reportedly netted over $23 million from more than 200 investors.
In 2021, both Madden and Grabow allegedly used Savitar to continue their fraudulent activities. They are accused of misleading investors about partnerships on a casino and resort project in Mexico that did not exist. The scheme is said to have resulted in obtaining over $2 million from at least ten investors.
Madden faces four counts of wire fraud while both men are charged with wire fraud conspiracy and money laundering conspiracy. Madden's initial court appearance is set for February 3, 2025, with Grabow's scheduled for February 24, 2025.
The announcement was made by United States Attorney Trina A. Higgins for the District of Utah. The case is being investigated by the Utah Division of Securities and the FBI Salt Lake City Field Office.
Prosecution will be led by Assistant United States Attorneys Stephen P. Dent and Joseph M. Hood for the District of Utah.
Victims seeking information can refer to the U.S. Attorney’s Office Victim Witness Assistance page.
It is important to note that an indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in court.
