Hillcrest Children's Center says its investment advisers squandered and stole nearly $8 million from it, crippling its work helping impoverished children and mothers in the District of Columbia. The nonprofit Center - founded by Congress for orphans of the War of 1812 - sued Gibraltar 
Asset Management Group, its five top officers and their attorney. Hillcrest says Gibraltar 'siphoned off more than $7.6 million from the trading account for their own personal gain,' reducing the $8 million trading account to 'a stunning $200.'The Children's Center seeks $8 million in compensatory damages and punitive damages for fraud, conspiracy, securities fraud, conversion, breach of fiduciary duty, negligent misrepresentation, unjust enrichment, and other claims.
Hillcrest says Gibraltar and its CEO Garfield Taylor won its trust by completing a successful trial investment run, making every scheduled return payment on the Center's $1.2 million trial investment. 'As a result, in February 2009, Hillcrest chose to invest half of its endowment with Gibraltar,' according to the complaint.
But things didn't work out as planned.
'This is a straightforward case of theft and fraud committed by the defendants of more than $7 million from Hillcrest"
