Five people have filed a class action lawsuit against a Marietta lawyer, claiming he defrauded them of millions of dollars in an elaborate Ponzi scheme.
Last month, Robert Price Copeland, 48, pleaded guilty in U.S. District Court in Atlanta to one count of wire fraud. The suit also names five financial planners and five businesses.
Prosecutors say Copeland's five-year scam defrauded more than 125 people out of $40 million, including some senior citizens who gave him their life savings.
Last week, five of the victims filed suit in U.S. District Court, asking for a jury trial, restitution, damages and attorneys fees.
Attorney Will Stone, who represents the five plaintiffs, said he hopes to have all of the other victims join the suit.
"We want the investors whole in whatever way we can. We're not only going after Copeland, but the intermediaries who led the investors to Copeland," Stone said.
Copeland is the only person charged in the scam, but the investigation is ongoing and additional charges could be filed, Stone said.
"He couldn't have done this alone," Stone said. "We believe they either knew or should have known this is a Ponzi and are just as responsible."
Copeland's attorney, Marcia Shein, said her client already pleaded guilty and is cooperating with investigators.
"The lawsuit is no surprise and he's doing everything he can to cooperate," she said Tuesday. "The plea agreement incorporates restitution and his ability to do so. He will do the best he can to comply with that decision."
The suit claims Copeland caused "massive financial losses, leaving many of the victims on the brink of financial ruin."
It also alleges the scheme violated federal and state RICO laws and securities fraud laws.
Prosecutors say Copeland solicited victims through seminars and financial planners. He allegedly told the victims he would invest their money in real estate deals, promising returns as high as 15 percent for every six to 12 months.
Copeland is free on $100,000 bond and scheduled to be sentenced July 10, Shein said. He faces up to 20 years in prison and a fine of $25,000, along with restitution and forfeiture of all of the proceeds.
Investigators have already seized 12 properties, several bank accounts, artwork, jewelry and cars from Copeland, according to the U.S. District Attorney's Office.
The plaintiffs include: Joel and Carolyn Smith, of Atlanta, who invested $645,000; Norman and Irene Jones, of Atlanta, who invested $1.7 million; and Christopher Robinson, of Atlanta, who invested $200,000.
The suit also names financial planners James Stephen Quay, Robert Patrick Stephens, John E. Redfeard III, Jeffrey Reed Nesseth and Ronnie L. Lundy Jr., who all allegedly helped Copeland solicit investors. It also names area businesses, the Physicians Planning Group, Perimeter Wealth Management Group, John Beasley Properties Finders Online, QA3 Financial and First Trust Company of Onaga (Kan.), as accomplices to the scam.
The defendants have until May 27 to respond to the suit, Stone said. No court date has been set.
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