Former CNBC pundit James Arthur McDonald Jr. was arrested by the FBI on Saturday in Port Orchard, Washington, after three years on the run.
McDonald had been considered a fugitive since November of 2021 after he failed to appear before the United States Securities and Exchange Commission to testify about his alleged defrauding of investors, according to a press release by the Department of Justice (DOJ). The former CNBC financial analyst allegedly defrauded millions from his investors after an unsuccessful “bet against” the U.S. economy in 2020.
🚨 CNBC financial analyst finally arrested after three years on the run as he’s charged with defrauding investors for millions in the aftermath of the 2020 election
James Arthur McDonald Jr, 52, was arrested in Port Orchard, Washington, on Saturday by the FBI and will be… pic.twitter.com/Pa9xxidDP2
— The Dibster (@richarddibX) June 18, 2024
The found fugitive, formerly of Arcadia, was charged with “one count of securities fraud, one count of wire fraud, three counts of investment adviser fraud, and two counts of engaging in monetary transactions in property derived from unlawful activity” in Jan. 2023, the press release states. (RELATED: State Bar Association Issues Warning To Lawyers Who Speak Out Against Trump’s Prosecution)
McDonald appeared to have “terminated” his previous phone and email accounts prior to his indictment, according to the DOJ. The former CNBC financial analyst also told someone he planned to “vanish,” court documents revealed.
McDonald was expected Monday to appear in court at the United States District Court in Tacoma, Washington. The 52-year-old alleged fraudster will be sent to Los Angeles “in the coming weeks” to face federal charges in this district, the DOJ says.
McDonald was the CEO and chief investment officer for Hercules Investments LLC and Index Strategy Advisors, both financial companies he based in Los Angeles. He also “frequently appeared as an analyst on the CNBC financial television news networks,” the DOJ’s press release states.
