- June 4, 2026
- Madison Avenue Securities
The Wolper Law Firm is handling cases nationwide regarding the sale of White River Energy Corp. Native American Tax Credits (“White River Tax Credits”), which are being offered to retail securities customers as a means to secure tax deductions. White River has associated with sales agents across the country, including FINRA member brokerage firms, SEC registered investment advisers, insurance salesman and unregistered individuals holding themselves out as investment professionals. The sales agents have received significant commissions as an incentive to refer clients to the White River Tax Credits. John Moriarty and his company, E3 Wealth, are among the sales agents who sold White River Tax Credits.
The White River Energy Corp. Tax Credit Securities
White River is a Nevada corporation. It purports to have a relationship with Native American tribes in the United States with sovereign immunity. With this purported affiliation, White River represents that it has the authority to sell tax credit investments to retail securities investors. The White River tax credits are sold pursuant to a “Tax Credit Purchased Agreement.” Investors are told that the IRS will accept tax credits equal to a multiple for every dollar invested. Some of the tax credit purchase agreements provide for a 60% enhancement while others offer a multiple of 2:1.
John Moriarty and E3 Family Office
John Moriarty is a Financial Advisor who is registered with Madison Avenue Securities. John Moriarty owns and operates an approved Outside Business Activity, known as E3 Wealth a/k/a E3 Family Office (collectively, “E3 Wealth”). Through E3 Wealth, John Moriarty solicited clients to become clients of Madison Avenue, where he would sell them tax-driven investment strategies and securities. Because E3 Wealth was an approved Outside Business Activity, Madison Avenue had an affirmative obligation to supervise those activities.
In or about December 2023, FA Moriarty sent an email to all of his clients, including Claimants, on what should have been a supervised email account, stating “your 2023 income tax situation could substantially benefit from a federal income tax credit that we are performing due diligence on at the moment…The source of these tax credits is the Cherokee Nation” and “[]a publicly traded company, White River Energy Corporation (OTC ticker: WTRV”) has acquired the rights to these tax credits and is selling a portion of them to taxpayers before the end of 2023.” We are “very excited about this opportunity to provide you a tremendous return on investment (ROI)…” In reliance on these representations, many investors purchased White River Tax Credits at the recommendation of John Moriarty and E3 Wealth.
The IRS has the Disallowed White River Tax Credits
The IRS disallowed the White River Energy Tax Credits. The IRS has determined that these are sham investments with an invalid purpose. Investors have begun receiving correspondence from the IRS, demanding payment of back taxes, penalties and interest, which will continue to accrue until the back taxes are paid. Upon information and belief, the Department of Justice, IRS and SEC is currently investigating White River and the agents it utilizes to sell these securities.
On April 14, 2025, Senator Ron Wyden and Senator Catherin Masto, authored a letter to IRS Commissioner, Melanie Krause, urging them to “initiate a criminal investigation of the promoters involved in a scheme to sell investors a fraudulent tax shelter known as “Native American Federal Income Tax Credits” issued by “White River Energy Corp.” The IRS responded
We can confirm that these tax credits do not exist. Taxpayers who claim credits that don’t exist are subject to penalties and possible examination. Furthermore, promoters of these credits may be subject to civil or criminal penalties. The IRS reminds all taxpayers to be aware of tax scams and encourages taxpayers consult with a reputable tax advisor.
https://www.finance.senate.gov/imo/media/doc/wyden_cortez_masto_irs_tribal_tax_credits_letter.pdf
Among the promoters identified in Senator Masto’s letter include “E3 Family Office”, which encompasses the suite of E3 companies operated by John Moriarty. Senator Masto states that “public reports detail how financial advisors made tens of millions of dollars selling” tax credits to investors.
On August 19, 2025, Senator Ron Wyden, who sits on the Finance Committee, wrote a letter to Paul Atkins, the SEC Commissioner, recommending that he investigate White River and bring an enforcement action. Senator Wyden wrote:
I write to call on the Securities and Exchange Commission (“the SEC”) to investigate whether White River Energy Corp (ticker WTRV, hereafter “White River”) failed to comply with its reporting obligations under the Securities and Exchange Act of 1934 (“the Exchange Act”). Even though the Exchange Act requires publicly traded companies to file quarterly and annual reports with the SEC in a timely manner, White River has not filed 10-K annual reports for the 2023 and 2024 fiscal years and has not filed a quarterly report in 16 months. This flagrant disregard for the law necessitates that the SEC consider an order instituting proceedings (“OIP”) to protect investors and ensure White River complies with the Exchange Act.
In order to protect investors, the SEC must immediately consider an order instituting proceedings and ensure White River complies with the Exchange Act. If White River continues to refuse to file required periodic reports or disclose the existence of a criminal investigation, the SEC should also consider initiating Section 12(j) proceedings and revoke the registration of White River’s securities.
The White River tax credits are strikingly similar to syndicated conservation easements, another tax scheme invalidated by the IRS. Syndicated conservation easements are securitized partnerships that own real estate with a unique habitat or ecosystem that is deemed to have a “conservation purpose.” Between 2014-2021, Wall Street opportunists acquired large tracts of land through these partnerships and hired professionals to artificially create a “conservation purpose” on the land (i.e., hidden minerals under the surface, rare birds and wildlife, etc). In short order, cheap land was being promoted as highly valuable land that needed to be preserved. Investors were told that they could take 4x-5x tax deductions for every dollar invested. The IRS added conservation easements to its “dirty dozen” list, has since audited nearly all of the conservation easement transactions and disallowed the deductions. The DOJ has also brought criminal cases against some of the industry participants because of what was deemed outright fraud.
As an Investor in the White River Tax Credits, What Avenues of Recovery do I have?
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration. Matt Wolper, the Managing Principal of the Wolper Law Firm, has handled more than 1,000 securities cases during his career involving a wide range of products, strategies and securities and has recovered millions of dollars for investors.
If you have lost money in White River tax credits or received a letter from the IRS disallowing the claimed deductions, contact Matt Wolper for a free, confidential consultation, to determine your options for recovery. Recovery options may be available through arbitration and/or court litigation. We can be reached at (800) 931-8452 or by email at mwolper@wolperlawfirm.com.
Attorney Matthew Wolper
Matt Wolper is a trial lawyer who focuses exclusively on securities litigation and arbitration. Mr. Wolper has handled hundreds of securities matters nationwide before the Financial Industry Regulatory Authority (FINRA), American Arbitration Association (“AAA”), JAMS, and in state and federal court. Mr. Wolper has handled and tried cases involving complex financial products and strategies ranging from traditional stocks and bonds to options, margin and other securities-based lending products, closed/open-end mutual funds, structured products, hedge funds, and penny stocks. [Attorney Bio]