February 6, 2025 Your Source for Brentwood News

Michelle Bisnoff Arrested for $2 Million Investor Fraud Scheme

CEO of ESOS Rings Faces Securities and Wire Fraud Charges

A Boca Raton woman was arrested today on charges of defrauding a staggering amount of over $2 million from investors, which she allegedly used for personal expenses and Ponzi payments to sustain the scheme.

Michelle Bisnoff, also known as “Michelle Angeline Silverstein” and “Shelly Silverstein,” 57, formerly of Brentwood, Pacific Palisades, and Santa Barbara, currently residing in Boca Raton, Florida, faces charges of securities fraud and wire fraud. Bisnoff has been released on bond and is scheduled to appear in United States District Court in downtown Los Angeles on August 7.

According to the affidavit supporting the criminal complaint, Bisnoff is the founder and CEO of ESOS Rings, Inc. From 2017 through the end of 2023, she allegedly solicited investments in ESOS by falsely representing the company’s business activities, profitability, and the returns investors would receive. Bisnoff purportedly claimed that ESOS owned patents for “smart rings,” a wearable device encoded with financial information for contactless payments. She further asserted that ESOS earned transaction fees each time a ring was used, generating profits for the company. Additionally, Bisnoff allegedly told investors that ESOS was manufacturing and selling these smart rings and that the company was on the verge of being acquired by Apple or another major firm, which would result in a significant buyback of investors’ shares at higher prices.

The affidavit states that neither Bisnoff nor ESOS owned the patents in question. Most of the investor funds were allegedly used to make Ponzi payments to earlier investors and for Bisnoff’s personal benefit. The purported acquirers of ESOS were unaware of the company or had no plans to invest in it. ESOS reportedly had minimal business operations and no profits.

A criminal complaint is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. If convicted, Bisnoff faces a statutory maximum sentence of 40 years.

The U.S. Securities and Exchange Commission (SEC) has also sued Bisnoff and ESOS for allegedly raising $1.95 million fraudulently from investors. On September 19, 2023, United States District Judge Consuelo B. Marshall ordered Bisnoff and ESOS to pay $836,548 to the SEC, including $566,483 in disgorgement of net profits, $46,836 in pre-judgment interest, and a $223,229 civil penalty. To date, neither Bisnoff nor ESOS has paid any of the amounts due.

The Federal Bureau of Investigation is investigating the case, with substantial assistance provided by the SEC and the United States Attorney’s Office for the Southern District of Florida. Assistant United States Attorney Ranee A. Katzenstein of the Criminal Appeals Section is prosecuting the case.

Related Posts

Best Spots to Celebrate Valentines, Galentines, or Have a Super Bowl Party on the Westside

February 5, 2025

February 5, 2025

Cocktails, Game Day Grub, Valentine’s Pasta, and a Lonely Heart’s Tea Service You will find many excellent ways to celebrate...

FDA Issues High-Risk Recall for Pre-Packaged Broccoli Florets Sold at Walmart

February 5, 2025

February 5, 2025

Recall Is Now Classified as Class I Due to Seriousness Of Contamination The U.S. Food and Drug Administration has classified...

Matū Kai Brings Its Signature Wagyu and Famous Cheesesteak to Brentwood

February 5, 2025

February 5, 2025

Team Behind Beverly Hills’ Acclaimed Matū Is Opening a Second Location One of Beverly Hills’s newest and most popular restaurants,...

Pan African Film and Arts Festival Returns for 2025 with Global Black Storytelling

February 5, 2025

February 5, 2025

Largest Black Film Festival in the U.S. Expands to Culver City With Over 150 Films The Pan African Film and...

Brentwood Has the Highest Priced Contract Among Increases in Luxury Home Sales

February 4, 2025

February 4, 2025

High-End Real Estate Rebounds With $186.8 Million in Contracts Signed Last Week Sales for luxury homes in Brentwood began to...

Influencer Florence Mirsky Responds After Her Racist Rant Is Caught in Video Footage

February 4, 2025

February 4, 2025

Viral Footage Shows Mirsky Using Slurs and Berating Valet Workers in Beverly Hills Influencer and cannabis entrepreneur Florence Mirsky, who...

 State Farm Seeks Emergency Rate Hike, Citing Wildfire Losses—Consumer Advocates Push Back

February 4, 2025

February 4, 2025

Insurer Requests up to a 38% Rate Increase, but Critics Call It an Unjustified Cash Grab In a press release...

(Video) Los Angeles Marathon Returns For 40th Anniversary

February 4, 2025

February 4, 2025

Register at mccourtfoundation.org Register at https://t.co/BSdsenmYSF pic.twitter.com/qsm2jMdDL8 — BrentwoodNewsLA (@BrentwoodNewsLA) February 4, 2025

CCPD Seek Public’s Help in Finding Missing Elderly Man with Dementia Last Seen in Culver City

February 3, 2025

February 3, 2025

Resident Last Seen on Washington Boulevard, Public Urged to Report Any Sightings Culver City’s Police Department is asking for the...

Los Angeles County Ramps Up Storm Protections in Fire Burn Areas As Two Storms Approach

February 3, 2025

February 3, 2025

Officials Install Flood Barriers and Urge Residents To Prepare As a storm system approaches California this week, Los Angeles County...

Beyoncé and Kendrick Lamar Make History at the 2025 GRAMMY Awards

February 3, 2025

February 3, 2025

Beyoncé Wins Album of the Year, Kendrick Lamar Sweeps Five Categories The 2025 GRAMMY Awards delivered a night of historic...

Pacific Palisades Farmers Market Finds New Temporary Home in Brentwood After Fire

February 3, 2025

February 3, 2025

Displaced Vendors and Shoppers Reunite at the Brentwood Farmers Market. The Pacific Palisades Farmers Market, displaced by the recent Palisades...

High-End Beverly Hills Watch Dealer Sentenced to Over 5 Years for $5.6M Fraud

February 3, 2025

February 3, 2025

“The Timepiece Gentleman” Ran Luxury Watch Scheme, Defrauded Clients “The Timepiece Gentleman” was sentenced Wednesday to 70 months in federal...

Former Beverly Hills Mansion of Hollywood’s Most Private Star Now for Rent for $45K

February 2, 2025

February 2, 2025

Iconic Estate in Beverly Crest Is Now Available for Purchase and Lease Old Hollywood’s most mysterious star’s home is back...

Los Angeles Fire Department Puts Out Chimney Blaze in 25 Minutes in Brentwood

February 2, 2025

February 2, 2025

Firefighters Quickly Extinguishes Flames From a Residential Chimney Los Angeles Fire Department firefighters quickly contained a chimney fire at a...