In what federal prosecutors are calling the largest Ponzi scheme in Georgia history, Russell Todd Burkhalter, founder and CEO of Drive Planning LLC, has been sentenced to 20 years in federal prison (AJC). This maximum sentence comes after Burkhalter defrauded more than 2,000 investors out of approximately $380 million.

If you or a family member invested in Drive Planning’s “Real Estate Acceleration Loan” (REAL) or “Cash Out Real Estate Fund” (CORE Fund), the criminal sentencing does not automatically return your money. Sonn Law Group is actively investigating civil recovery options and FINRA arbitration claims on behalf of victims who were sold these fraudulent investments.

The Drive Planning Scam: How It Worked

According to the U.S. Attorney’s Office and the SEC, between September 2020 and June 2024, Burkhalter and his executives heavily marketed supposed “bridge loan” opportunities to retail investors.

The pitch was incredibly persuasive: investors were told they were providing short-term funding for real estate developers and that their money was “fully collateralized” by real estate. In return, Drive Planning promised astronomical, guaranteed returns of 10% every three months.

Burkhalter ruthlessly encouraged everyday people to tap into their life savings, drain their children’s college funds, take early distributions from retirement accounts, and even borrow money at high interest rates to invest (CBS News).

The reality? There was no real estate business. Instead of funding property developments, Drive Planning was a classic Ponzi scheme. Within months of taking the first investments, Burkhalter was using new investor money to pay off earlier investors to keep up appearances (Department of Justice).

Meanwhile, millions of dollars were siphoned off to fund a lavish billionaire lifestyle, including:

  • A $3.1 million yacht
  • $4.6 million spent on chartering private jets and luxury car services
  • A $2 million luxury condo in Cabo San Lucas Fox 5 Atlanta

Top Executives Implicated and Sentenced

Burkhalter wasn’t the only one involved. U.S. District Court Judge Tiffany Johnson also sentenced two other top Drive Planning executives this week Forbes:

  • David Bradford (Chief Operating Officer): Sentenced to 4 years and 3 months in prison, and ordered to pay $4.3 million in restitution.
  • Julie Edwards (Chief Administrative Officer): Sentenced to 2 years in prison and ordered to pay $630,000 in restitution for money laundering.

Judge Johnson explicitly rejected a lighter 17.5-year plea deal for Burkhalter, calling his conduct “despicable” and emphasizing that many victims are unlikely to ever fully recover their devastating financial losses through the criminal restitution process alone.

What Can Drive Planning Investors Do Now?

Just like the victims in the Mohamed Coulibaly / Motion Ventures Shopify scheme, many Drive Planning investors are currently asking: Now that the CEO is going to prison, how do I get my money back?

Relying solely on the court-appointed receiver or criminal restitution often results in victims recovering only pennies on the dollar, years down the line. However, you may have other avenues for financial recovery.

Financial advisors, brokers, and third-party promoters who recommended Drive Planning to you had a legal and fiduciary duty to perform basic due diligence. Recommending an unregistered, high-risk Ponzi scheme that promised impossible returns is a massive red flag. If a registered financial advisor or brokerage firm sold you this product, they can be held directly liable for your losses through FINRA Arbitration.

Contact Sonn Law Group Today

Sonn Law Group has extensive experience representing victims of massive Ponzi schemes and real estate investment fraud. We operate on a contingency fee basis, meaning we charge no upfront fees, and we only get paid if we recover money for you.

If you lost money in Todd Burkhalter’s Drive Planning REAL or CORE funds, do not wait for the criminal courts to sort out your life savings. Contact us today for a free, confidential consultation to discuss your specific recovery options.