British Columbia’s securities regulator has accused a Surrey entrepreneur of misleading investors and misusing their funds on gambling and personal expenses. This case highlights the rising trend of gambling-related fraud and underscores the need for investors to exercise caution before entrusting money to others.
Surrey Entrepreneur Accused of Defrauding Investors
According to a recent notice from the BC Securities Commission (BCSC), 42-year-old D.L.P. allegedly defrauded 14 investors by raising over $200,000 between 2021 and 2022 through his sole proprietorship. He promised short-term profit-sharing returns, claiming the funds would be used to fulfill merchandise contracts for corporate clients.
Investigations reveal that approximately $146,000—nearly 75% of the invested amount—was instead spent on online gambling, personal purchases, and third-party payments. The BCSC alleges D.L.P. failed to provide promised returns, violating the province’s Securities Act. A hearing is scheduled for November 18, 2025, and failure to appear may result in proceedings without him. The allegations remain unproven at this time.
Growing Concerns Over Gambling-Related Financial Fraud
This case follows a series of notable gambling-related fraud incidents worldwide. Recently, Chinese investors filed a $13.4 million lawsuit in New York, accusing developers of scamming them in a casino resort project in the Northern Mariana Islands that never materialized.
In Canada, Alberta’s Court of King’s Bench sentenced a serial fraudster who targeted women online, stealing money that he gambled away, causing severe financial and emotional distress.
Tips to Spot Gambling-Related Fraud for Investors
To protect yourself from gambling-related investment scams, consider these key tips:
• Verify Credentials: Always check the background and registration status of the individual or company offering investment opportunities through official securities regulators.
• Be Wary of High Returns Promised Quickly: Fraudsters often lure investors with unrealistic short-term profit promises. • Request Detailed Documentation: Legitimate investments come with clear contracts, financials, and transparent business plans.
• Avoid Urgency Pressure: Be cautious if pressured to invest quickly or without full information.
• Monitor Your Investments Regularly: Watch for irregularities in returns or communications.
• Seek Professional Advice: Consult with financial advisors or legal experts before committing large sums.
The BCSC continues to investigate D.L.P., warning that those found guilty in gambling-related fraud cases face severe penalties, including fines, market bans, and imprisonment. Staying vigilant and informed is the best way to safeguard your investments from such scams.
