Court Documents Reveal Some Victims of Daren Palmer Ponzi Scheme - Daren Palmer and Trigon Group In Ponzi Inquiry.

Last week, Daren Palmer of Idaho Falls was officially sued by the Securities Exchange Commission, for operating a $40 million ponzi scheme. Now, we're learning more information about the victims, what they told investigators about Palmer's own admissions of guilt, and how much money the investors lost.

Daren Palmer told many of his investors that he and his Trigon Group, Inc. could give 20 percent returns on investments through risk-free trading strategies, which we now know to be all lies.

Daren Palmer's upscale home was allegedly being built with money from investors in a $40,000,000 ponzi scheme -- a scheme which also netted him loads of cash. And of the people he's said to have swindled, many were even his close friends.

So-called "witness declarations" filed in U.S. District Court reveal at least 7 investors, of at least 55 victims.

One of them is Century 21 real estate professional Kevin Taggart. He told the S.E.C. he and Palmer had been trusted friends for more than 20 years, first meeting as teenagers.

Taggart states, "On January 12, 2009... Palmer admitted to me he had been running a ponzi scheme for many years... Palmer said that for years he wakes up every morning wondering if this would be the day he would get caught."

In total, Taggart invested $550,000 over the years, receiving $360,000 back.

Also listed -- David Taylor of Taylor Chevrolet in Rexburg. Taylor states that on January 5, 2009, "Palmer admitted to me that all the money invested with Trigon was gone..." Documents show Taylor invested $4 million, followed by a series of checks from Palmer which bounced.

Taylor told Newschannel 6 the loss has not affected the success of his business.

Other statements from investors reveal more lies from Palmer.

Jay Butler, a neighbor states, in December 2008, "I heard a rumor circulating in Idaho Falls that Palmer's investment business was in trouble. I called Palmer and he told me that... my investments were fine."

Butler never saw one payment, losing $250,000.

Another neighbor Darryl Harris told the SEC he made 25 investments with Palmer's Trigon Group, of $5,000,000.

He states, "Palmer made several excuses as to why he could not return my investment. These included that his funds were flagged under the Patriot Act, and that he had trouble accessing his overseas money."

He reports a loss of more than $3,500,000.

Documents show David K. Swenson states he has not received any payments on his investment of $500,000. Paul Ramsey states he invested $2,700,000 and received back approximately $512,000, losing more than $2,000,000. Jack B. Larsen states he invested $400,000 and based on records, received $387,000 back from Palmer and Trigon.

When Newschannel 6 called Palmer on his cell phone on Friday once it was learned he admitted to wrongdoing in testimony to the SEC, we asked if he wanted to apologize to his friends who lost so much money; he declined to do that.

David Taylor says he's trying to stay positive throughout this continuing investigation, saying the losses are one heck of a tax write off.