What Happened to iCap Equity and iCap Vault Investors' Money

What this page covers, and what it does not

“iCap” here means iCap Enterprises, Inc., of Bellevue, Washington, and its funds, including iCap Equity, LLC and iCap Vault 1, LLC. It is not iCapital, the platform for alternative-investment access, which we cover in our iCapital review; the two have no connection that we found.

As of November 10, 2026, a search of SEC litigation releases and Justice Department releases for an action naming iCap found none; the government action we could read is a state one. We also could not read the plan, the disclosure statement or any trust report: the case website the trust's release points to is a script-driven page that returned no documents to us. So the recovery section below reports what is missing, not an estimate.

We name companies, agencies, courts and case numbers only. The Washington order was entered after the two individual respondents did not ask for a hearing, so its findings were adopted as final rather than tried.

The case in dates

How much was raised, fund by fund

The Washington order lists eight iCap vehicles that sold debentures or promissory notes, several of them marketed primarily to investors in China, and sold through broker-dealer firms based in twelve states and Puerto Rico. iCap Equity, LLC is what the order calls Fund 3, a “fund of funds” that bought interests in Funds 1 and 2. Investors can appear in more than one row after rollovers, so do not add the columns.

What the Vault notes were, and what the SEC filings show

iCap Vault 1, LLC (CIK 1800199) is the only iCap entity we found that registered securities with the SEC. Its file number is 333-236458, and it filed quarterly reports as a public reporter. The order says Vault notes could be deposited and withdrawn like a bank account, with a $25 minimum, and that iCap told investors it would keep cash reserves equal to 10% of outstanding Vault principal. The order says iCap did not keep that reserve.

The 10-Q's liabilities are far below the $193 million the order attributes to Vault investors over its life. The order says $142 million was repaid to investors, and the 10-Q reports only the notes still outstanding at one date, so the two figures measure different things; we do not reconcile them. The order says Vault became inactive on December 3, 2023. No annual report for 2022 was ever filed, so there is no audited statement of what the notes were backed by.

Where the money went, per the Washington order

For Vault, the order says iCap received $193 million from investors and $12.7 million in intercompany transfers, used $142 million of that roughly $206 million to repay investors, and deployed $16.4 million, or 8.1%, to real estate. Repaid, as a share of received, is about 69% (our arithmetic). The bankruptcy investigation, as the trust's release describes it, found about $1.4 million of legitimate real estate revenue over 2018 to 2023. These are findings made in an order entered by default and statements by the trust's own side; they are not audited figures.

Recoveries: what is and is not published

A default judgment is not cash in hand. Our GPB Capital page shows what a receiver's first payment looks like when one exists: GPB Capital investors had received one distribution close to $400 million with the receiver still holding $710.6 million. The Wells Real Estate Investment receivership shows the slower pattern, cash building for quarters with $0.00 paid to investors. For iCap, whichever pattern applies, the figures are not public in what we could read.

What a reader can do with this

• Find your documents. Your note or debenture, the last interest statement from spring 2023, and any claim form or ballot you returned in 2024 decide what you are owed. The trust's release names a co-trustee as its contact for investor questions.
• Raise the Ponzi finding with a tax professional. The trust's release quotes the creditors' committee counsel saying the ruling offers investors "potential relief through theft loss deductions"; whether and how that applies to you depends on your facts.
• Do not count the state fine. The Washington order ranks its fine behind investor claims, so it is not a source of repayment.
• Mind the clock on any claim against the firm that sold you the notes. Time limits for arbitration and court claims differ and can already have run; a lawyer can check yours. We cannot say whether you have one.

FAQ

Sources, read on November 10, 2026: Washington Department of Financial Institutions, Securities Division, Order No. S-23-3608-26-FO02, Findings of Fact and Conclusions of Law and Final Order, signed and entered April 24, 2026 (dfi.wa.gov); iCap Trust press release “iCap Successfully Completes Chapter 11 with Landmark Ponzi Ruling and 95% Creditor Support,” PR Newswire, December 5, 2024; dockets of the adversary proceedings 2:25-ap-80040 (Center Street Securities, Inc.) and 2:25-ap-80084 (Perkins Coie LLP) in the Eastern District of Washington bankruptcy court, lead case 2:23-bk-01243, as shown by PacerMonitor and last updated November 9, 2026; iCap Vault 1, LLC (CIK 1800199) Form 10-Q for the quarter ended September 30, 2022 (0001493152-22-033138), Form NT 10-K (0001493152-23-010252) and Form NT 10-Q (0001493152-23-017806) on SEC EDGAR. The asset-to-debt ratio and repayment share are our arithmetic. We could not read the plan, the disclosure statement or any trust report. This is analysis of public documents, not investment, legal or tax advice.