Securities fraud — Ponzi schemes are hitting investors hard


Ponzi schemes prey on investors who think they are making smart, sound decisions. The average person can lose quite a bit in one of these schemes. It is important to understand that Ponzi schemes are not just a problem of the past.

In 2019, authorities discovered 60 separate Ponzi schemes across the United States. There were $3.25 billion in investor funds wrapped up in those schemes. That is more than double what they found in 2018. The last time authorities uncovered anywhere near this amount was back in 2010.

My firm has uncovered numerous ponzi schemes including schemes operated by a senior financial advisor at Oppenheimer & Co. Inc. and Ladenburg Thalmann. We have recovered millions of dollars on behalf of our clients who have been victiimized by ponzi schemes getting victims and their families back on their feet financially, emotionally and spiritually.    

Some might be quick to try and downplay these numbers. In 2008, authorities discovered a Ponzi scheme that, by itself, involved $65 billion. Another 40 Ponzi schemes with $23 billion in investor funds were found that same year. Experts point out that the sudden surge of schemes in 2019 could be an indication of difficult times for investors.

Although the current climate might not be as dire as the 2008 financial crisis, it may very well signal that a resurgence of Ponzi schemes and other forms of securities fraud is on the horizon. Investors in New York might not be able to differentiate between a legitimate investing opportunity and a Ponzi scheme meant to scam them out of their hard-earned money. But that does not mean victims must simply accept their situation and financial losses. Speaking with an experienced attorney could be a good option for those who want to recover financial damages.