Ponzi scheme is one of the popular jargon among the investment fraternity. If you are not aware, then it is high time that you knew about it. The Ponzi scheme is named after Charles Ponzi, a swindler who started such a scheme in 1919 to defraud people’s money.
A fraudulent investment scheme that promises higher returns with little or no risks is known as a Ponzi scheme. There are various types of fraud under the Ponzi schemes. One such type of fraud is the scheme that pays out funds gathered from fresh investors to older investors so that the older investors are given a false sense of security and happiness. It is this very misconception of the safety of their funds that lure them into putting more money into the same scheme. It is only after the honeymoon period is over that the investors would slowly understand the fraud once the payment of interest recedes or stops completely thus risking their entire capital invested.
There are other Ponzi schemes where the investment fund is used up for some other purpose and not for the one it promised. There are other types where the fund collected is not invested at all and is siphoned off by the agent.
If you are a victim of Ponzi schemes then please do not just depend on the market regulators to intervene and help you. You need to act quickly. You may need to choose a viable legal counsel to pursue your case in a timely manner in the court of law or other legal forums. We are here to help you. We study the case at hand and highlight the risks, impacts, and benefits of litigation with our customers by offering the most efficient plan of action supported by facts and numbers.
We provide free consultations on such matters and request compensation only if we can recover the lost money.