I'm a little surprised that there wasn't a previous thread on one of the biggest fraud scandals ever to hit LI. Regardless, one of the main brokers in this case was sentenced last week to 6.5 years in prison.
Former New York broker gets 6-1/2 years in prison for Ponzi scheme - Business Insider
This scandal first popped up in the news in early 2009, and now all these years later the brokers are finally getting sentenced. One of the other main brokers got 9 years a few months ago.
To this day I can't believe how many people gave their life savings to these losers. This wasn't like Madoff - who had decades of experience working in finance and had a completely legitimate market making business separate from his ponzi scheme. Nick Cosmo was a convicted felon/boiler room crook and his team of "brokers" had no background in finance whatsoever. I do have some sympathy for those who lost money...but ultimately if they had done even a minimal amount of due diligence they would have quickly figured out this was 100% scam.
Anyway, anyone know have any connections to these losers? A friend of my mother got taken for $40k or so after being warned by several people to run away from this "investment". I guess greed can sometimes get in the way of sound judgement.
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