Ponzi schemes are a type of financial fraud which can be investigated by various agencies of the federal government, including the SEC and FBI, as well as state government agencies. Sometimes, even in the best scenario, the penalties for running a Ponzi scheme include substantial jail time and massive fines, forfeiture and restitution. Charges for Ponzi schemes are often also coupled with other charges such as tax evasion, mail fraud, wire fraud, securities fraud or other financial crimes.
For more than 30 years, Philadelphia attorney Hope Lefeber has defended individuals and businesses accused of federal mail and wire fraud crimes. As a former Enforcement Attorney for the United States Securities & Exchange Commission, Hope Lefeber's experience enables her to understand how the federal government operates, and therefore, enables her to best prepare a winning defense. When you face federal allegations of a Ponzi scheme, a thorough investigation is critical. Ms. Lefeber has at her disposal a team of experts and investigators that ensures the best preparation and strategy to obtain the best results.
Hope Lefeber is extremely well-known and respected among her colleagues and judges in the federal courts for her aggressive and effective representation of her clients. She is tireless in her pursuit of her client's constitutional rights.
A Ponzi scheme (named after its inventor, Charles Ponzi) is a variation of the pyramid or multi-level marketing scam where a director or manager of finances solicits investors with the promise of a given return rate on investments. This can be advertised as anything: securities, a hedge fund, mutual funds, even postage stamps. Instead of paying investors with profits from actual investments, the director pays them with the principal given to him from new investors.
Ponzi schemes can include, but are not limited to, the following forms of financial fraud:
As has been widely publicized, hedge fund managers, businessmen and individuals in the financial services industry are usually those charged with operating a Ponzi type scheme. Part of the reason the SEC, FBI and DOJ aggressively prosecutes those accused of running Ponzi schemes is that the victims of these crimes often include elderly and other vulnerable individuals as well as charitable organizations. On the other hand, experienced investors and other highly educated people are frequently viewed as victims by the prosecution, too. An experienced criminal defense attorney is essential to understanding the underlying issues involved and must work from the beginning to reduce the amount of loss, number of victims and collateral effects of the scheme.
When you are facing Ponzi scheme charges, contact the Philadelphia law offices of Hope Lefeber by calling 610-668-7927 or completing our online form. Consultations are free and confidential.