Premier 1031, Inc.

Founded in 2004, Premier 1031, Inc. specialized in acting as a Qualified Intermediary (QI) for Section 1031 like-kind exchanges, a mechanism in the U.S. tax code that allows investors to defer capital gains taxes on real estate sales. As a QI, the company's primary function was to hold clients' funds from the sale of a property in escrow and then disburse them for the purchase of a replacement property, ensuring compliance with strict IRS regulations. The company ceased operations in 2007 after it was discovered that its principals were running a Ponzi-like scheme, misappropriating at least $100 million in client funds. The company subsequently filed for bankruptcy, and its principals faced civil and criminal charges.