Upstate NY businessman pleads guilty for stealing over $50M in Ponzi scheme
New York Post • • business
Key Points:
- Miles “Burt” Marshall, a businessman from Hamilton, New York, pleaded guilty to charges including second-degree grand larceny, securities fraud, and first-degree scheme to defraud in connection with a $50 million Ponzi scheme.
- Marshall operated the “8% Fund,” promising investors an 8% annual interest rate, taking money from nearly 1,000 individuals and organizations, including neighbors and local churches.
- A bankruptcy trustee found that by 2011, Marshall was using new investments to pay earlier investors, ultimately owing about $95 million in principal and interest.
- Attorney General Letitia James stated Marshall used investor funds for personal expenses such as shopping, vacations, and dining, and he is facing 4 to 12 years in prison with sentencing set for June 11.
- Victims expressed frustration over the plea deal, feeling justice was not fully served, as Marshall filed for Chapter 11 bankruptcy in 2023 declaring over $90 million in liabilities.
