Saturday, March 27, 2010

Michigan Man Sentenced In $13.2 Million Ponzi Scheme

Richard Taft Johnson, 67, of Bloomfield Hills, Michigan, was sentenced to 8 years in prison for bilking investors out of some $13.2 million in a Ponzi-type investment fraud scheme. Prosecutors alleged that Johnson, through his company, Investor Planning Services, promised investors returns of as much as 40 percent per year through a low-risk program called the American Charitable Program. The scheme began in 1998 and lasted until 2009. There are about 130 known victims of Johnson's fraud. He plead guilty to "devising a Ponzi scheme and committing mail fraud in carrying it out."

Read the story here and here.

Read the DOJ announcements here and here.

No comments: