Paul Horton Smith has pleaded guilty to one count of wire fraud for operating a nearly 20-year-long Ponzi scheme that fraudulently obtained more than $24 million, the Justice Department said Tuesday.
Smith operated California-based companies named Northstar Communications LLC, Planning Services Inc., and eGate LLC, according to the department.
He solicited often elderly or retired individuals “Northstar” and led most to believe his company reinvested their initial investment and generated the percentage they were to earn. Smith never actually invested the money and deposited all investor funds into a non-interest-bearing checking account, the DOJ said.
He is scheduled to ...
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