In the UK a 65 year old investor by the name of Joseph Lewis pleaded guilty to a massive investments scam that spanned nations. Lewis confessed to his crimes in front of a United Kingdom court. The statement was released by the Crown Prosecution Services (CPS) this Friday.
The perpetrator admitted to involving a number of other investors in a Ponzi scheme worth £20.5 million. The scam spanned an entire decade, and has conned people from all over the world. These victims where made to think that they were investing in FX assets.
Those that invested funds in the scheme received fake reports from Lewis, showing that their funds have accumulated profits and interests. This of course was not the case. What’s more, Lewis openly encouraged investors to deposit more, and to recommend to users’ friends and relatives to do the same.
What happened in reality was that Lewis transferred investors’ money to his own accounts and wasted them on his lavish lifestyle, and to pay his early investors back for their help in the initial processes of the scam.
Interestingly, Lewis surrendered himself to the police after emails he sent to his clients revealed that he had not lawfully invested their funds since 2009. He pleaded guilty for 19 fraud offences. Authorities are currently endeavoring to compensate victimized users.
Fraudulent FX activities such as this one are very widespread, and as such authorities around the world are in a perpetual clash with the culprits.