Sacramento Man Pleads Guilty To Ponzi Scheme
SACRAMENTO, Calif. (AP) -- The former president of a Sacramento investment club has admitted operating a Ponzi scheme that took in more than $2 million.
The U.S. Attorney's Office says Garry Bradford pleaded guilty Friday to four counts of wire fraud. He faces up to 20 years in federal prison on each count and a $250,000 fine.
Bradford, who is 62, was the president of the Millenium Capital Group, which collected $2.2 million from about 21 people who expected their money would be invested in real estate.
Prosecutors say some victims refinanced their homes or used money from their retirement accounts to invest.
As the group was losing money, prosecutors say Bradford admitted using money from later investors to pay off earlier ones.
(Copyright 2011 by The Associated Press. All Rights Reserved.)
