Ponzi Record

United States ยท 2005 to January 2009, according to the SEC

Agape World Inc. bridge loan investments

The SEC said sales agents promised returns of 12 to 14 percent within weeks and told investors their money would fund high interest bridge loans to commercial borrowers, that little if any of it did, and that early investors were paid with money from new investors.1

Losses as statedThe SEC described a $415 million scheme and said Cosmo lost $80 million trading futures in personal accounts.1
Victims as statedMore than 5,000 investors nationwide, according to the SEC.
Recovered for investorsNot confirmed in the sources reviewed.

People and outcomes

Nicholas J. Cosmo

Arrested in January 2009. Sentenced to 300 months in prison and ordered to pay more than $179 million in restitution, according to the SEC.1

Response: No public response is recorded in the sources reviewed.1

Timeline

  1. Cosmo arrested.1
  2. SEC charges 14 former Agape sales agents.1

Sources

  1. US Securities and Exchange Commission, SEC charges 14 sales agents in $415 million Ponzi scheme (12 June 2012)