The West Australian Supreme Court has been told an accused fraudster and his alleged accomplice created an “entire make-believe” suite of invite-only investment opportunities to defraud his clients of $36.5 million.
Chris Marco and Linda Marissen are on trial over a scheme that reportedly defrauded investors. The pair’s trial began on Monday and is predicted to run through August.
Accused fraudster Chris Marco, left, outside the WA Supreme Court before a previous appearance last year.Credit: Jesinta Burton
Prosecutor Steven Whybrow, acting for the Commonwealth, told the court the alleged offending happened over eight years between 2010 and 2018.
Marco worked as a private investor, and Marissen was his personal assistant.
Whybrow said Marco would purport to invest money on behalf of his clients, however “the state’s case is there were no investments”.
One complainant gave Marco $11 million to invest.
Marco, 67, is facing 44 charges related to the fraud, while Marissen, 57, has been charged with 26 offences.
They have pleaded not guilty to all charges.
“In each case we say the [clients] were told lies,” Whybrow told the court on Monday.
“[It was] represented that Mr Marco was a private investor and that through many years and experience ... had access to these exclusive deals.”
Whybrow told the court Marco presented himself as a “leprechaun” who could take his clients to the pot of gold at the end of the rainbow.
“But there was no pot of gold,” Whybrow said.
“This operation stayed upright on very flimsy foundations because new people would come in and provide funding that would then be used.”
The court was told Marco previously admitted he paid out $198.5 million in funds over the years to those who requested their money back, but sometimes convinced them to “reinvest”.
Marco would allegedly pay them back with money other clients had recently invested.
“He was very convincing. He was very good at it. He created an entire make-believe,” Whybrow told the court.
The prosecutor said about $250 million had been transferred into Marco’s accounts over eight years, from clients who were referred to him through accountants, friends and family.
Only seven clients are due to give evidence relating to Marco’s alleged conduct, and the charges relate solely to the sum of $36.5 million.
“We say in essence Mr Marco is an illusionist and Ms Marissen is his assistant,” Whybrow told the court.
“The illusion is broken if the assistant is not part of what’s going on.”
Whybrow alleged Marissen played a role with clients to an extent, but had limited contact with them.
“There are 14 occasions where there’s not going to be a document trail or evidence of Ms Marissen knowing what happened before the money is sent,” he said.
“[But] the only reasonable hypothesis is that she was aware Mr Marco was getting money … on the basis that it was going to be invested in a certain way and knowing that wasn’t going to happen.”
Whybrow told the court the complainants who would give evidence were sensible, intelligent and careful people, and included an accountant.
He said when Marco was arrested in November 2018, the 67-year-old allegedly told prosecutors if the cash flow from investors eventually stopped, he would run out of money three to four months later.
“It’s a beast that gets hungrier and hungrier that needs more and more feeding,” Whybrow told the court.
The defence counsel will begin their opening arguments on Tuesday.
The trial is set to go for eight weeks.
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