It may not be Bernie Madoff-big, but a sizable Canadian Ponzi scheme just got busted.
Globe & Mail: RCMP arrested an Alberta man and laid charges against another on allegations that both were involved in a Ponzi scheme that police say raised at least $100-million – and perhaps as much as $400-million – from thousands of investors.
Police say as many as 3,000 victims in Canada and the U.S. were involved in the alleged Ponzi scheme that promised annual returns of as much as 40 per cent and channelled funds through a highly complicated series of companies.
Some are criticising how long Canadian authorities took to break up the plot. While the three-and-a-half-year investigation went on, one woman committed suicide last October after investing over $300,000 in the scheme, according to the Globe & Mail.