A group of investors is suing Daryl Heller’s partners in his ATM investment network, claiming they helped carry out a $700 million Ponzi scheme.

The class action suit [brought by Peiffer Wolf Partners Dan Centner and Jason Kane, Scott Silver, Peter Spett and Ryan Schwamm of Silver Law Group, and Nico Banks of Banks Law Office] was filed Wednesday in U.S. District Court for the Eastern District of Pennsylvania by Batman Investments LLC on behalf of 2,700 investors.

The suit names Jerry Hostetter, Mir Jafer Ali Joffrey (a/k/a “Buck Joffrey”), Randall Leaman, and David Zook. Hostetter referred a reporter to attorney Josh Voss, who did not immediately respond to a message left Thursday morning. Messages were also left for the other defendants.

Heller is not named as a defendant.

The suit said Paramount Management Group and its Prestige Funds “were riddled with conflicts of interest stemming from common ownership and control by Defendants and by non-party Daryl Heller (“Heller,” another owner/executive), who collectively grossly mismanaged the Prestige Funds and misappropriated investor monies for themselves.”

The suit continues: “Lacking meaningful cash flow from operations, the Prestige Funds relied on a constant influx of investor money to stay afloat to fund Ponzi payments to existing investors. Ultimately, Defendants’ greed and mismanagement led to the Ponzi scheme’s collapse.”

Scott L. Silver, managing partner of Silver Law Group, which is one of the law firms associated with the suit said in a news release, “Unlike some of the other lawsuits related to this alleged Ponzi scheme, the class action we are filing is about getting justice for the real victims. This is one of the biggest investment scandals to hit this part of the country, and we are eager to help anyone who was affected.”

Batman Investments is New Jersey limited liability company consisting of two investors, a husband and wife.

This is a breaking news story and will be updated.

Source: Lancaster Online August 28 2025