- Posted at May 17, 2018 01:20 PM
- by Will Nystrom
New York financier Andrew Caspersen recently pled guilty to a scheme in which he defrauded investors – including close friends and family members – out of tens of millions of dollars. Caspersen’s pitch was that he had access to a “practically risk-free” investment in which loaned money would sit in a bank account as collateral for a credit facility. The investors would then receive quarterly interest payments of 15 to 20 percent in return. The supposed fund and investment were fake. Caspersen instead used “new” money to pay “old” investors, spent some of the money himself, and gambled away the rest of it. In its charging document the government alleged that Caspersen lost a staggering $108 million in stock option trading between February and March 2016.