Tuesday, December 23, 2008
Utah Man Jailed For $140 Million Ponzi Scheme, Is Deined Parole Until At Least 2025
Val E. Southwick, 63, formerly of Ogden, Utah, who is serving 9 consecutive 1 to 15 year terms for perpetrating what is believed to be the largest Ponzi scheme in Utah history, was denied parole yesterday. His next parole hearing will be in 2025. Southwick pleaded guilty on June 12, 2008 to nine counts of securities fraud in connection with a phony investment scheme that defrauded at least 800 investors out of some $140 million. Southwick's front company group, known as VesCor, included some 180 corporate entities and purported to be a real estate investment firm. Southwick had promised investors as much as 24 percent returns, but the scheme collapsed in 2007 and he filed for bankruptcy.