Shore man accused of stealing $6M from clients' funds Five victims of money-laundering scheme live in Monmouth County ALavallette man is facing charges for stealing over $6million fromclients throughout Monmouth and Ocean counties, including some in Long Branch, West Long Branch and Little Silver OnMarch 20, James Hankins Jr., 38, of Lavallette, was arrested by detectives from the Monmouth County Prosecutor's Office and the Ocean County Prosecutor's Office, according to authorities. Hankins is being charged with seconddegree theft by deception, second-degree passing bad checks, and first-degree financial facilitation of criminal activity, commonly referred to as "money laundering," according to a press release from the Monmouth County Prosecutor's Office. If convicted of the second-degree crimes, Hankins faces a maximum potential term of incarceration of up to 10 years. If convicted of the first-degree crime, he faces a maximum potential term of incarceration of up to 20 years, authorities said. "Hankins deliberately perpetrated a substantial fraud which victimized numerous investors," Monmouth County Prosecutor Luis A. Valentin said. "In so doing, Hankins violated his fiduciary duty to these investors in favor of advancing his own selfish personal interests." Bail on the Monmouth County charges was set by state Superior Court Judge EdwardM. Neafsey at $1 million. Bail on the Ocean County charges was set by Superior Court Judge James N. Citta at $1 million. Hankins was also ordered to surrender his passport. Hankins' arrest results from a joint investigation, which is being conducted by detectives from the two county Prosecutor's Offices. The investigation was initiated after residents of Monmouth and Ocean counties contacted law enforcement authorities with complaints about the manner in which Hankins was handling their investments, authorities said. The investigation revealed that Hankins presented individual investors with an investment opportunity known as viatical (or life) settlements. In a viatical settlement, an investor purchases or is assigned a legal interest in the life insurance policy of a terminally ill insured person who desires to cash out a portion of their policy. The insured typically wants to cash out the life insurance policy because ofmounting life expenses as well as the insured's impending death. This accelerated death benefit is usually between 10 percent to 50 percent of the face value of the policy. The investor is then responsible for paying the remaining premiums on the life policy until the insured's death, at which time, as the substituted beneficiary, the investor receives the entire remaining value of the policy. The investigation further revealed that Hankins also solicited investments in traditional life insurance policies, authorities said. The investigation revealed that between March 2006 and November 2007, Hankins received approximately $6 million of investor money, and it is alleged that instead of investing the funds, he spent most of the money on his own real estate purchases and lifestyle expenditures, authorities said. In addition, Hankins allegedly issued bad checks totaling approximately $2 million to investors who confronted him upon becoming disgruntled over the manner in which he was handling their investment funds. authorities said. The investigation remains active and ongoing, authorities said. Thus far, the investigation has identified five victims who are residents of Monmouth County, residing in the Elberon section of Long Branch,West Long Branch, Little Silver and Howell. The investigation has also identified 15 victims who are residents of Ocean County and additional investors who reside in Union County and fromas far away as Illinois and Florida. The investigation was jointly conducted by Detective Sgt. Christopher Donohue and DetectiveMatthew Veprek of theMonmouth County Prosecutor's Office, and by Sgt. Vincent Petrecca and Detective Mark Malinowski of the Ocean County Prosecutor's Office, Special Investigations Unit. The New Jersey Bureau of Securities and the Wall Township, Toms River and Lavallette police departments also assisted in the investigation. Detectives are attempting to locate other potential victims who may have attempted to invest funds with Hankins or with the Hankins Private Client Group located at Ramshorn Executive Centre on Highway 34 in Manasquan. Valentin and Ocean County Prosecutor Marlene Lynch Ford urge any individual who believes that they may have given funds to Hankins to invest to contact Detective Sgt. Donohue at 1-800- 533-7443 or Detective Sgt. Petrecca or Detective Malinowski at 732-929-2027.