Ponzi Schemes

We regularly represent individuals who have invested in Ponzi schemes. We pursue claims against both the companies and the individuals who have orchestrated the fraud, and often also pursue the advisors, accountants, or financial institutions who assisted in making the scheme appear legitimate.

Our firm specializes in finding any recoverable funds whether they be here in the United States, offshore or hidden in other funds. We use private investigators and asset recovery specialists to locate possible assets.

Some examples of our recent and current cases include representing:

  • A class of investors against various banks alleged to have been associated with Allen Stanford’s $7 billion Ponzi scheme, whose claims recently survived summary judgment and will proceed to trial in due course;
  • Investors in a FINRA arbitration against a clearing firm to recover losses connected to Allen Stanford’s Ponzi scheme;
  • Retirees and other investors in the Middle District of Florida against TD Bank/Mercantile Bank to recover losses related to the $300 million Ponzi scheme perpetrated by Louis J. Pearlman;
  • Mississippi bankruptcy trustee in action to recover from a Mississippi public hospital’s directors and officers damages for their mismanagement and breaches of fiduciary duties; obtained favorable rulings in the Mississippi Supreme Court and the U.S. Fifth Circuit Court of Appeals, see Lefoldt v. Rentfro, No. 2017-FC-00486-SCT, 2017 WL 6379448 (Miss. Dec. 14, 2017) and Lefoldt v. Rentfro, 709 Fed. App’x 291 (5th Cir. Jan. 16, 2018); continues to pursue claims against the public hospital’s auditor for professional malpractice.
  • Investors in Louisiana State Court against Judith Zabalaoui, Charles Schwab, and Omni Bank to recover losses related to the $5 million Zabalaoui investment fraud scheme.