By Kathy Bazoian Phelps
Below is a summary of Ponzi scheme activity reported in the news for October 2026. There were at least 10 new Ponzi schemes revealed worldwide this month, 6 guilty pleas, and more than 36 years of prison sentences. The average age of the fraudsters was about 56 years old. Please feel free to post comments about these or other Ponzi schemes that I may have missed.
Eddy Alexandre, 53, and EminiFX Inc., of New York, were ordered to pay over $228 million in restitution in connection with a cryptocurrency commodity pool Ponzi scheme. They held themselves out as an investment club and promised returns of 5% to 9.99% per week. They brought in more than $262 million from more than 28,000 investors.
Jason R. Anderson, Blox Lending, LLC, Digital Licensing, Inc., Schad Brannon, and Roydon Nelson were charged by the SEC in connection with a cryptocurrency offering fraud that raised at least $200 million from more than 100,000 investors worldwide. The enterprise was branded as Debt Box. Business Funding Solutions, LLC was named as a relief defendant. Investors were promised returns from royalties in projects involving beverage distribution and real estate. Debt Box represented that the revenue generated would be used to buy and remove Debt Box’s crypto assets from the market, thereby increasing the value of the investors’ crypto assets. Brannon and Nelson each consented to entry of final judgment.
Paul Beers, 67, of New Jersey, pleaded guilty to running a Ponzi scheme that defrauded at least 65 victims out of more than $9.7 million. He ran the scheme through KJM Financial and promised returns from investments in financial accounts and guaranteed income contracts.
BG Wealth Sharing Ltd. and DSJ Exchange Pty Ltd. were charged by the SEC on allegations that these foreign-operated and Colorado-incorporated entities orchestrated a fraudulent scheme that raised more than $130 million. BG Wealth claimed to be the world’s largest hedge fund, partnered with a purported crypto trading platform.
Bran Crudden and his company, Transparent Equity Entrepreneurs, LLC, settled charges with the SEC relating to an alleged fraudulent scheme that raised more than $645,000 from 23 investors. They promised returns from day trading and IPO offering funds.
Roosevelt Tobias “Toby” Bailey, 70, of Georgia, and Alvin Jones, 58, of Florida, were charged in connection with an alleged $2 million Ponzi scheme run through Borg Global. The schemes were referred to as the Micro-Cap program, promising 100% returns from the purchase of precious stones and metals from outside the U.S. for resale in the U.S. for a profit, and Standby Letter of Creditor that promised returns of up to 16 times the investment within 30 to 90 days.
Taylor Orris Bang, of North Dakota, pleaded guilty for his role in the Agridime LLC Ponzi scheme. Investors were promised returns from the purchase of specific cattle and the sale of the resulting beef. Bang owned and operated Taylor Bang Cattle Sales LLC and served as a cattle broker for Agridime. Jed Wood, Joshua Link, Tia Link and Royana Thomas were also indicted in connection with the scheme.
Ernest Ossei Boateng, and his related business entities, Intercontinental Wealth Network LLC and IWealth Network LP were charged by the SEC. The SEC alleges that they raised approximately $16 million from more than 200 investors, promising guaranteed fixed returns.
Edwin Brant Frost IV, 69, of Georgia, founder of First Liberty Building and Loan, was sentenced to 15 years in prison in connection with that $140 million Ponzi scheme. The scheme caused over $76 million in losses to more than 300 victims. He promised returns of up to 16% from high-interest bride loans to businesses. He kept $17 million for himself and insiders.
Imer Gomez, 29, was added to the FBI’s most wanted list in connection with an alleged Ponzi scheme run through K&G Investment Solutions LLC, Helios Venture Capital Group LLC, and Helios Venture Fund LLC. The scheme allegedly raised approximately $10 million from more than 400 investors in Texas. Gomez promised high returns from investments in the stock market.
Jedidiah Michael Josiah Harris, 37, of Florida, was charged in connection with his role in a Ponzi scheme that he ran through the Invictus Group, LLC and Pivot Global Analytic, LLC. The scheme promised returns of 10% to 40% per month from pooled investments in options pertaining to the S&P 500. The scheme defrauded 27 investors out of more than $2 million.
Timothy France Johnson, 63, of Texas, was sentenced to 51 months in prison for running an 11-year Ponzi scheme in which he promised returns from the promotion of NBA preseason games. Instead, he created fictitious contracts and financial statements. Johnson falsely claimed to be a third-party promoter through entities like BOLO Sports & Entertainment LLC, Shoot N Two Sports LLC, and Bolo Entertainment LLC. He raised over $3 million.
Chirayu Vijay Patel’s estate, of New Jersey, settled with the SEC on charges that Patel had misled over 40 investors regarding their investments. Patel had offered 6% annual returns in one fund and a 20% return in another and had pooled together approximately $10 million.
Cesar Humberto Pina, 48, aka Flipping NJ pleaded guilty to orchestrating a home-flipping Ponzi scheme. Pina is a real estate influencer who partners with a celebrity disc jockey. He promised returns of 30% on investments withing 4 to 5 months.
Marco Giovanni Santarelli, 57, of California was sentenced to 2 years and 9 months in prison and ordered to pay more than $63 million in restitution in connection with the Ponzi scheme run through Norada Capital Management. He promised monthly returns between 12% and 17% form investments in e-commerce, real estate, Broadway shows, and cryptocurrency.
Seku N. Shabazz aka Jason Brooks, 54, of Ohio, was indicted on charges that he was running a Ponzi scheme that brought in more than $1.2 million. Shabazz promised returns from a mortgage-backed investment vehicle, and ran the scheme through his companies, Great Lakes Retirement and Great Lakes Securities LLC. Shabazz was also charged with embezzling his employer’s retirement contributions.
Antonio Honorato Silveira, 50, of California, pleaded guilty to charges relating to a Ponzi scheme that promised returns of between 13% to 17%. He brought in about $11.03 million from 89 investors who lost approximately $7.19 million.
Richard Teplitsky, 72, pleaded guilty to charges related to the Ponzi scheme run through Woodhill Capital Corporation. The scheme defrauded over 200 investors out of $54.4 million. He promised returns from loans to other businesses for commercial equipment.
William Bernard Tunink, 73, of Iowa, a former LPL advisor, was charged on allegations that he ran a $2 million Ponzi scheme. He received more than $11 million from at least 50 investors, and investors suffered losses of more than $2 million. He promised high, tax-free returns.
Trevor Uhls, 29, of Missouri, pleaded guilty to charges that he was a Ponzi scheme that brought in more than $3.8 million from at least 60 investors. He promised 8.5% interest from investment in storage units.
INTERNATIONAL PONZI SCHEME NEWS
Canada
Danny Bergeron was sanctioned and stripped of his securities registration in connection with a $20 million Ponzi scheme. He was a director and officer of Agro Tech Ventures 1 Inc. and Malina Capital Inc., selling their securities to his clients.
England
Kautilya Pruthi was sentenced to 14½ years in prison in connection with a Ponzi scheme dubbed “Britain’s Bernie Madoff.”
India
In connection with the alleged Ponzi scheme run through Pancard Clubs Limited (PCL), and Panoramic Universal Limited, authorities seized 211 properties. The scheme raised funds from investors and then transferred them to shell companies like Shagun Tradelinks Private Limited, and other subsidiaries.
Authorities arrested S. Naveen Kumar and S. Muthuselvam in connection with an alleged Ponzi scheme operating under the names Unique Exports, East Valley Agro Farms, and labels like UNI, FNP, FAP, and UNR.
Authorities are seeking victims of the Rich 2 Money Private Limited Ponzi scheme. Investors were promised 3% monthly returns on investments in share markets, futures and options, and equities.
Tirthankar Tusharkanti Sengupta, 48, and Jayant Oak, 58, were arrested on charges that they defrauded approximately 300 investors out of ₹15 crore. Operating under the name “Custodian Beneficiary Associates of Partner,” they represented that the Central Government had sold iridium particles to Germany and that the proceeds would be distributed to participants in the scheme.
South Africa
Authorities opened a criminal investigation against Ahmad Yasin Hossenbocus on allegations that he was running a Ponzi scheme through Libertas GH. The scheme promised returns from cryptocurrency mining. Libertas has denied running a Ponzi scheme.
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