A new class action lawsuit claims that a company promising to help retirees invest safely instead enabled the loss of life savings by channeling funds into an alleged $328 million cryptocurrency Ponzi scheme. The complaint argues that the company’s actions led directly to substantial financial harm for individuals who trusted it with their retirement accounts.
The suit was filed by Lucrezia Presta and Presta IRA LLC on March 17, 2026, in the United States District Court for the District of New Jersey against Broad Financial, LLC. The plaintiffs allege that Broad Financial acted as a key facilitator for investors—many of whom were retirees—who ultimately lost their savings through investments with Goliath Ventures, Inc., which federal authorities have described as a massive fraudulent operation.
According to the complaint, Ms. Presta, a schoolteacher who saved diligently over 24 years, lost her retirement savings after relying on Broad Financial’s services. The document states: “Ms. Presta…saved for more than two decades and lost it all because she trusted self-touted ‘crypto sanctuary,’ Broad Financial.” The plaintiffs claim that Broad Financial built and managed the limited liability company (LLC) used to transfer Ms. Presta’s IRA funds into Goliath’s investment program.
The lawsuit outlines how Goliath Ventures marketed its program as a sophisticated but low-risk opportunity using so-called cryptocurrency liquidity pools, offering predictable monthly returns. However, law enforcement later alleged these returns were part of a classic Ponzi scheme structure: “Goliath marketed fixed monthly returns that were mathematically incompatible with liquidity-pool yield generation.” In February 2026, Goliath’s CEO Christopher Delgado was arrested on charges including wire fraud and money laundering related to this alleged scheme.
The complaint asserts that Broad Financial played an active role in enabling these investments by creating LLCs for clients like Ms. Presta specifically designed to move retirement funds quickly into Goliath’s program. Plaintiffs argue that “Broad Financial was not a sanctuary at all, but instead was the steering wheel for a crypto Ponzi Scheme—guiding investors towards financial ruin without regard to Broad Financials’ own representations, its duties, or the law.”
Broad Financial is described as marketing itself as an expert in self-directed individual retirement accounts (SDIRAs) and checkbook-control structures allowing alternative asset investments such as cryptocurrency. Plaintiffs say that while SDIRAs can offer legitimate opportunities for experienced investors, they also create vulnerabilities because they bypass traditional custodial oversight: “Because the IRA owner is writing the checks directly, there is no custodian review to catch mistakes—or fraud.”
The filing further alleges that Broad Financial misrepresented its expertise and guidance capabilities by telling customers it would help them select suitable plans based on their intended investments: “We will guide you through the process of selecting from our variety of Self-Directed IRA services to pick the right plan for your investment…” However, plaintiffs contend that instead of providing proper evaluation or warning about risks—including prohibited transactions under tax law—Broad Financial facilitated investments regardless of suitability or legality.
In addition to claims about negligent advice and facilitation practices, the lawsuit accuses Broad Financial of engaging in unauthorized practice of law under New Jersey statutes by preparing legal documents such as operating agreements without being licensed attorneys: “New Jersey Court Rule 1:21-1 provides that no person may practice law in New Jersey unless licensed…preparing operating agreements and similar legal documents is the practice of law.”
Plaintiffs also allege that Broad Financial maintained referral arrangements with promoters associated with Goliath Ventures and paid fees per investor referred—a practice said to incentivize rapid onboarding without proper scrutiny or compliance checks.
The class action seeks damages on behalf of all persons nationwide who established SDIRA or IRA-owned entities through Broad Financial specifically for investing in Goliath Ventures or related programs. Relief sought includes compensatory damages for lost retirement funds and fees paid; statutory remedies under consumer protection laws; injunctive relief; costs; interest; attorneys’ fees; and any other relief deemed appropriate by the court.
Legal arguments presented include negligence, negligent misrepresentation, breach of fiduciary duty, aiding and abetting breach of fiduciary duty by others involved in Goliath’s operations, and violation of state laws prohibiting unauthorized legal practice.
The case is brought under Case No. 2:26-cv-02721 before the United States District Court for the District of New Jersey. Attorneys representing plaintiffs are not named explicitly within this portion of the filing.
Source: 226cv02721_Presta_v_Broad_Financial_LLC_Complaint_District_New_Jersey.pdf
