Ponzi Schemes

Have You Been the Victim of a Ponzi Scheme?

A Ponzi scheme is criminal theft on a large scale. It is a pyramid scheme in which the money of new investors is used to make payments to earlier investors. Often there is no "investment" occurring — money is simply being shifted from one person to another, with the initiator of the investment scheme skimming money off the top.

The Ponzi scheme will continue as long as new investors can be recruited to provide funding that goes to pay investment returns to early investors.

Do you have legal recourse? You might. The securities fraud attorneys at Dimond Kaplan & Rothstein, P.A. (DKR) bring civil court cases and arbitration cases on behalf of investors who suffered financial losses in Ponzi schemes in Florida and around the nation. We are not involved in criminal aspects of a case. Our interest is in helping our clients recover their money.

How could this have happened? Ponzi schemes can be devastating to investors, emotionally as well as financially. A Ponzi scheme works because the person committing the fraud often commands the trust and respect of those who provide money to him or her. Often they share a similar religious or ethnic background. They play upon this affinity to gain the trust — and the money — of those they defraud.

The victims of Ponzi schemes are often confused about the nature of the fraud because the investment seemed legitimate at the beginning. Representations were made about the nature of the investment opportunity. Those representations may have been inaccurate, or they may have been true — at the beginning. Some Ponzi schemes are fraudulent from their inception, while other Ponzi schemes were legitimate investment ventures that didn't work so the fraudster began using new investors’ money to pay promised investment returns to earlier investors.

Whatever the intention, the result is that investors lose money — often a great deal of money — because they placed their trust in the wrong person or company.

Can you recover financially? If financial assets can be located, we will work to help you recover financially from the investment losses you suffered due to dishonesty and fraud.

Advocating for maximum recovery of your investment losses

For a free initial consultation regarding your investment fraud losses, contact an experienced securities fraud lawyer at the DKR offices in Miami or West Palm Beach. We represent investors in Florida and nationwide. Call 888.578.6255 to discuss your claim.