The Blount County District Attorney’s office and the Alabama Securities Commission (ASC) have announced the arrest of a former Blount County resident.
David Ray Pinyan was arrested on May 4 by Sevierville and Pigeon Forge, Tenn., law enforcement officials after a 12-count indictment was handed down by a Blount County grand jury in April.
The indictments charge Pinyan with one count each of sale of an unregistered security, sale of a security by an unregistered agent, and scheme to defraud in connection with the offer or sale of a security. He was also charged with three counts of making an untrue statement of material fact in connection with the offer or sale of a security. Each of these charges is a Class C felony under Alabama law. Pinyan also has been charged with six counts of theft of property by deception, first degree, a Class B felony.
According to a release from the ASC, Pinyan allegedly used schemes centered on various land development opportunities and transactions involving the buying and selling of automobiles, beginning in May 2006 and continuing through August 2007.
He allegedly used these schemes to defraud several Alabama investors and allegedly promised the investors profit on their investment principal. The indictment alleges that Pinyan obtained by deception the funds from investors which he converted for personal use and he failed to divulge pertinent details concerning the business deals. ASC records reveal that neither Pinyan nor the opportunities he allegedly offered and sold were registered with the ASC, as required by law.
Pinyan has waived extradition and will be in custody at the Blount County Jail and will be held without bond, according to Blount County District Attorney Tommy Rountree.
The ASC asks that anyone who may have been in contact with Pinyan regarding potential business opportunities to contact the ASC Enforcement Division at 1-800-222-1253.