: Prosecutors and civil litigants allege that Ferrum operated as a Ponzi scheme
The year served as a major timeline anchor for subsequent litigation. During this period, the operators aggressively expanded their reach. According to U.S. Department of Justice filings, San Antonio-based financial advisor Brooklynn Chandler Willy —a core affiliate who promoted Ferrum on her prominent local radio show—steered massive amounts of client capital into Ferrum entities during this specific timeframe. For instance, federal documents highlight a landmark May 2021 transaction where Willy directed a married couple to roll over $500,000 of their retirement funds into a Ferrum entity.
In response to the lawsuit, Ferrum Capital took steps to enhance its compliance and risk management practices, including the implementation of new policies and procedures aimed at preventing similar issues in the future. ferrum capital lawsuit 2021
Lawsuits filed in Lubbock and San Antonio, Texas, detail instances where investors poured millions into the scheme as late as June 2021, only to receive no returns on their principal or interest. Key Figures and Entities
Joshua Allen and Mike Cox founded Ferrum Capital in 2017. Operating through multiple entities—including —the firm pitched a highly secure, high-yield opportunity to everyday investors. : Prosecutors and civil litigants allege that Ferrum
The "Ferrum Capital lawsuit 2021" is a key piece in a sprawling financial fraud puzzle. It began with a $1 million investment from a vulnerable individual and has since evolved into one of the largest Ponzi schemes in recent Texas history. As the legal proceedings continue, the primary focus remains on holding the perpetrators accountable and seeking some measure of justice for the hundreds of victims whose lives were upended.
While 2021 may have been the year the seeds of Ferrum Capital's destruction were sown, the full legal reckoning took years to unfold. Lawsuits filed in Lubbock and San Antonio, Texas,
Walt Collins, the namesake of CAG, was deposed in April 2024 at the Omni Barton Creek Resort in Austin, but a full transcript only recently entered court records. During the deposition, Collins was asked repeatedly about what happened to the investors' money. "You're asking me — where's the rest of the money? I really want to know that. I don't know," Collins said when pressed.
The “Ferrum Capital lawsuit” most commonly refers to a case filed in involving Ferrum Capital Partners , its founder Brian Ferrario , and several related entities. The most prominent lawsuit from that year is Versus Games LLC v. Ferrum Capital Partners, LLC , filed in the U.S. District Court for the Northern District of California.
The victims' stories are devastating. A Lubbock couple who had known Josh Allen since he was born lost more than $5 million. Judy Musgrove and Kathleen Priebe — both in their 60s and 70s — were advised to invest all of their retirement savings, according to a Bexar County lawsuit. Retired dentist Jay Adkins, whose $500,000 investment represented 20 years of retirement savings, told KCBD: "I wouldn't have retired had I known my life's savings would be gone".