When it sounds too good to be true it's a scam

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``I asked him 10 times, `Is this a Ponzi scheme? Is this a Ponzi scheme?' And he said no,'' Snyder said. ``I talked to my Merrill Lynch broker, and the broker said this is not a legitimate deal. I did it anyway because I trusted [Faulkner].''

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Wow, just wow!

Man, when even the brokers are telling you its bunk...

quote:

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Snyder said that several months ago, he had invested about $850,000 in stocks with Faulkner, now a broker at Jesup and Lamont. He made about $15,000 in profits, so he trusted Faulkner.

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So he made less than 2% profit over "several months" (when the market was going up) and that made him trust the guy?

quote:

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Man, when even the brokers are telling you its bunk...

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Update:

LINK

Ah, the good old days:

"The criminal case was seen as inevitable after Rothstein returned from Morocco early last month amid mounting questions from investors and the FBI about missing money.

Federal agents have seized Rothstein's boats, including an 87-foot yacht, as well as 20 luxury cars and numerous other assets, including his share of the Miami Beach mansion formerly owned by fashion designer Gianni Versace. Prosecutors are also going after 24 homes and other properties linked to Rothstein in Florida, New York and along Rhode Island's Narragansett Bay.

Meanwhile, the once fast-growing law firm Rothstein Rosenfeldt Adler is defunct and Rothstein has been disbarred by the Florida Supreme Court. Several investors have already filed lawsuits seeking their money back, including one case demanding more than $100 million in damages.

Rothstein promised huge returns on investments in legal settlements he said would pay out over time. Prosecutors say most of the settlements never existed and that Rothstein operated a Ponzi scheme, using money from new investors to pay older ones."