Mastermind Behind Longest Lasting Ponzi Scheme Gets 20 Years
A money manager from Brooklyn, NY, Philip Barry was sentenced by U.S. District Judge Raymond J. Dearie to 20 years in prison for operating a $45 million Ponzi scheme, according to Bloomberg News. He was convicted by a jury after a weeklong trial of one count of securities fraud and 33 counts of mail fraud.
Mr. Barry was the mastermind behind what is likely the longest lasting Ponzi scheme ever, beginning in 1978. Early on, he began soliciting money from investors, guaranteeing fake profits and using new investors’ money to pay earlier ones, according to prosecutors. Prosecutors believe that his is the longest lasting Ponzi scheme in U.S. history.