Cheap Tiffany Jewelry0Two More Florida Ponzi Schem

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rida and Ponzi schemes [link widoczny dla zalogowanych], never a week works by without newspaper of another Florida fraudster being caught in another massive fraud. This week is no exception.
The Securities and Exchange Commission announced charges opposition two Florida hedge fund directors with funneling extra than a billion dollars of investor money into a Ponzi scheme scamper by Thomas Petters of Minnesota. The government says Bruce Prevost and David Harold raised over $1 billion along lying to investors. The SEC's grumble says the two told clients their money was being secondhand to finance the buy inventories of user electronics.
None of the funds ever were invested as agreed. Petters raised billions of dollars from feeder funds such as those run by Prevost and Harold and simply used the money for his own purposes.
Some might claim that Prevost and harold were sufferers themselves. The problem, whatsoever, is that the two again told investors that they would personally monitor transactions and pay the monies instantly to the electronics vendors. They didn't and never intended to do so, says the SEC's complaint. Instead they forwarded the money directly to Petters and pocketed $58 [link widoczny dla zalogowanych],000,000 for their exertions.
When the scheme began apt explain, the 2 began apt simply commute fashionable investments as age. They also sent expressions to their customers reporting "steady profits." The deeds of Prevost, Harold and Petters have always the signs of a prestigious Ponzi scheme.
What namely amusing about this scheme is the genealogy of Petters and how the scheme lasted so numerous years ahead it collapsed.
Petters ambition immediately forever be understood for his offenses against investors. (He is currently serving a 50 year sentence in Leavenworth.) Prior to his indictment, he was well known for his purchase of Polaroid [link widoczny dla zalogowanych], Fingerhut and Sun Country Airlines - commerce that he apparently ran as well as his Ponzi scheme.
The fraud may have begun as early as 1995. Including the $1 billion raised by Prevost and Harold, the scheme is believed to have swindled investors out of $3.65 billion. Not very Madoff territory but enough to acquire the 3 admittance to the Billionaire Hall of Shame.
Prior to adding the ranks of the incarcerated, Petters was rewarded a Corporate Leader of the Year in 2001 and a Distinguished Humanitarian Award. He also donated millions of dollars to Florida institutes and universities. Millions of dollars of additional people's money.