• 12 hours America Has Shed 500,000 Millionaires Since The Coronavirus Lockdown Began
  • 18 hours Trump Wants Another $2 Trillion Economic Intervention
  • 1 day The Surprising Businesses Deemed “Essential” During The Coronavirus Lockdown
  • 2 days Priceless Van Gogh "Spring Garden" Painting Stolen
  • 2 days Oil Falls To $20 For First Time In Nearly Two Decades
  • 2 days COVID-19 Could Be The End Of U.S. Coal
  • 2 days How Much Does Your Social Security Number Cost? $4 On The Dark Web
  • 4 days Silver Stocks Have Been Decimated In The Coronavirus Sell-Off
  • 5 days How Blockchain Tech Could Make Mergers And Acquisitions More Efficient
  • 5 days America’s Shortage Of This Metal Keeps Trump Up At Night
  • 5 days Bidet Bonanza: Defying The Toilet Paper Shortage
  • 6 days U.S. Auto Sales Fall By 75%
  • 6 days Violating Quarantine? Big Brother Is Watching
  • 7 days Does Gold Still Have Some Room To Run?
  • 7 days Major Acquisition Gives The World’s First Green Ride-Share Another Edge
  • 7 days U.S. Pushes For Digital Currency For Immediate Stimulus
  • 8 days The Impossible Challenges Created By Growing Population
  • 8 days Gold Skyrockets After Fed Pledges "Unlimited" Cash To Boost Economy
  • 8 days World’s Richest Lose $1 Trillion In Stock Market Rout
  • 9 days Gas Stations Shut Down In Venezuela As Coronavirus Crisis Intensifies
U.S. Auto Sales Fall By 75%

U.S. Auto Sales Fall By 75%

The economic slowdown is beginning…

  1. Home
  2. News
  3. Breaking News

Millions Missing After Marijuana Ponzi Scheme Implodes

Marijuana

It's usually at the later innings of an economic cycle when Ponzi schemes unravel. As we've reported on numerous occasions, Ponzi implosions are gaining momentum as a recession could be dead ahead in 2020. 

The latest Ponzi nightmare is located in Denver, where one baby boomer convinced a bunch of other baby boomers to give him tens of millions of dollars for cattle trading and marijuana businesses, enticing them with high yield returns, The Denver Post reported

Settlement documents filed Monday in the U.S. District Court in Colorado, first retrieved by The Post, stated that, Mark Ray owned no cattle and had a pot business with insurmountable debts. 

Ray funneled new investors' dollars to pay off prior investors and even channeled funds into personal bank accounts to pay for things like medical bills, private flights, fancy cars, mansions, automobiles, and even had enough funds to cover the expenses of his own cattle, the filing said. 

Ray allowed the U.S. Securities and Exchange Commission (SEC) to freeze his assets in the spring so that investigators could examine assets under management. 

The Ponzi scheme began in 2014 and collapsed as early as March 2019. 

Filings show Ray didn't admit to any wrongdoing in his settlement with the SEC.

The filing claims that at the height of the scheme, more than $140 million per month was being transferred between accounts.  Related: Wall Street Unfazed By Recession Fears

The pot business, called Universal Herbs, had insurmountable debts, according to the filing. Ray provided investors with detailed reports on the cattle and feedlot, but never really had any cattle, it was "mostly lies," said The Post

"In other words, there were, in fact, no cattle to support the vast majority of purported investments in cattle trading," according to the filing. "Instead, Ray simply used new investor money to repay prior investors."

Ray is a serial offender, was barred from selling securities in 2005 in the state of Illinois for running another Ponzi cattle scheme. 

In the last several months, we've reported on a multi-million-dollar Ponzi scheme in Maryland that went bust. 

An ex-Fox & Friends co-host fled the country with his family earlier this year after his real estate Ponzi scheme collapsed.

Late last year, a $345 million Ponzi scheme rocked family funds in Baltimore, it was one of the largest ever schemes in the state of Maryland. 

By Zerohedge.com

More Top Reads From Safehaven.com:

Back to homepage

Leave a comment

Leave a comment