Vegas woman arrested in alleged stock fraud

Wednesday, May 19, 2004 | 10:55 a.m.

A Las Vegas woman was arrested Tuesday in connection with an alleged stock fraud in which a local woman lost $70,000.

A $3,000 bond was set for Eleanor "Ellie" Gordon, who was apprehended by state investigators without incident. An attorney contacted by Gordon said she had no immediate comment.

According to a criminal complained filed by the state Attorney General's office, Gordon and her son, Jeffrey, represented themselves as officers of Gyro Holdings International and offered to buy a Las Vegas woman 2,800 shares of discounted JetBlue Airways stock on the victim's behalf in April and May 2002.

The state said the Gordons used the investment funds for personal use rather than buy the airline stock and reneged on promises to return the money.

Jeffrey Gordon remains at large. He and his mother were charged with felony securities fraud, transacting business as an unlicensed sales representative, transacting business as an unlicensed broker-dealer and employing or contracting with an unlicensed person as a sales representative, state officials said.

The Gordons and Gyro Holdings are not licensed with the state Securities Division to act as broker-dealers or sales representatives, the Attorney General's office said.