Ponzi scheme busted at Duluth, MN stock exchange
Ponzis are becoming increasingly common on the U.S. stock market, and the Duluth Stock Exchange has become a breeding ground for the new breed of scammer.
The company that runs the stock exchange says it shut down one of its biggest Ponziters last year after a court ordered it to stop using the same scheme.
But the suspect remains at large.
The scheme involved buying and selling stocks using fake financial instruments.
The suspect was caught after the company discovered the Ponzicator had used his position in the company to make money, and authorities have arrested him, according to the Dul, Minn., newspaper The Duluth News-Herald.
Investigators say the suspect is not related to the company.
He had bought a stake in the Dulce Stock Exchange through a third-party company, according the Dulbegan News-Democrat.
Investigators said they’re also trying to determine if anyone else is involved in the scheme.