Two Dallas-Fort Worth area residents owe a combined $12.1 million after a federal court entered final judgments in a Ponzi scheme that raised $91 million from more than 200 investors. Robert D. Welsh and Caedrynn E. Conner consented to the judgments, entered September 28, 2026 in the U.S. District Court for the Eastern District of Texas over the Vanguard JV Cash Program.
What happened in the Vanguard JV Cash Program case
The SEC’s complaint described a scheme that ran from May 2021 through February 2024. Kenneth W. Alexander II and Robert D. Welsh allegedly operated the Vanguard JV Cash Program through an entity called Vanguard Holdings Group Irrevocable Trust. The program had no relation to Vanguard Group, the mutual fund company.
Alexander and Welsh promoted the program as a highly profitable international bond trading business. In reality, according to the complaint, that business did not exist. Investor money paid earlier investors in classic Ponzi fashion.
Caedrynn E. Conner assisted the scheme at a critical stage, the SEC alleged. In July 2022, Conner created the Benchmark JV Cash Program and used it to pool funds for investment into the Vanguard program. By the end of 2022, the complaint states, Conner knew or was severely reckless in not knowing the program was fraudulent.
What the final judgments against Welsh and Conner order
Both defendants consented without admitting or denying the allegations. The judgments permanently enjoin them from violating Sections 5 and 17(a) of the Securities Act of 1933 and Section 10(b) of the Exchange Act with Rule 10b-5.
Each judgment also bars the defendant from participating in the issuance, purchase, offer, or sale of any security, except for securities held in a personal account. The October 7, 2026 announcement in Litigation Release No. 26668 covered the two consenting defendants.
What Welsh and Conner must pay
| Defendant | Disgorgement | Prejudgment interest | Civil penalty | Total |
|---|---|---|---|---|
| Robert D. Welsh | $1,062,069 | $168,077 | $450,000 | $1,680,146 |
| Caedrynn E. Conner | $8,575,250 | $1,357,072 | $500,000 | $10,432,322 |
| Combined | $9,637,319 | $1,525,149 | $950,000 | $12,112,468 |
How the Vanguard JV Cash Program attracted investors
The program promised returns from international bond trading, a business that sounds sophisticated and generates few public records. Investors were told profits came from bond trades that never occurred, according to the complaint.
The Benchmark program added a second layer. Its investors held no direct claim on anything the Vanguard program owned. Each layer made the money harder to trace and the story harder to check.
Red flags investors can learn from this Ponzi case
International bond trading programs marketed to retail investors are a recurring fraud theme. The legitimate institutional bond market has high minimums and little use for cold-call capital from individuals.
A program that depends on new deposits to pay earlier withdrawals is not an investment strategy. Steady monthly income from an opaque strategy deserves the same suspicion in 2026 that it deserved in 2021.
A middleman fund that pools money into someone else’s program adds risk, not safety. The Vanguard and Benchmark structure shows how layered entities delay discovery.
What investors in the Vanguard or Benchmark programs can do now
The SEC generally distributes disgorged funds to harmed investors when a distribution is feasible. Investors should keep the commission’s contact information current and preserve records of every contribution and every payment received.
Recovery processes often measure net losses, which account for money already received. An investor who collected payments before the collapse should review the full transaction history, not just the deposits.
A securities attorney can review the court record and advise on remedies that survive the judgments. Deadlines and claim procedures differ by case.
Frequently asked questions about the Vanguard JV Ponzi case
Is the Vanguard JV Cash Program connected to Vanguard Group? No. The program ran through Vanguard Holdings Group Irrevocable Trust, an entity named in the SEC complaint against Kenneth W. Alexander II and Robert D. Welsh.
Who are Robert Welsh and Caedrynn Conner? Two Dallas-Fort Worth area residents who consented to final judgments totaling $12.1 million for their roles in the $91 million scheme.
How much did investors lose in the Vanguard JV Cash Program? The SEC alleged the scheme raised at least $91 million from more than 200 investors between May 2021 and February 2024.
Haselkorn & Thibaut fights for investor recovery
Haselkorn & Thibaut is a securities law firm founded by former Wall Street defense attorneys who shifted their practice to represent investors. The firm has recovered over $520 million for clients in securities matters and maintains a 98 percent success rate in resolved nontraded REIT cases. Attorneys are AV Preeminent rated through Martindale-Hubbell, designated as Super Lawyers, and hold a 5.0-star client review average. The firm operates on a contingency basis — no recovery, no fee.
Contact Haselkorn & Thibaut today
Time matters in Ponzi recovery cases. The earlier you act, the stronger your position. The firm offers a free case evaluation to assess your losses, review your account history, and explain your options under arbitration or settlement.
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