Austin Man Sentenced for Running a Massive Ponzi Scheme
AUSTIN – A local man will be spending the next 41 months behind bars after being caught up in a sprawling Ponzi scheme that cheated investors out of more than 1.5 million dollars. The U.S. Department of Justice announced the news, revealing the details of the case that has left many questioning how low some can go in the pursuit of profit.
Who is Nurnepes Nurjanov?
Nurnepes Nurjanov, a 34-year-old self-proclaimed day trader, found himself on the wrong side of the law after a series of bad decisions. Back in June, he stepped into the courtroom and pleaded guilty to one count of wire fraud – a fancy legal term that basically means he was caught trying to swindle people out of their money using a web of lies.
The Scheme Unraveled
According to the DOJ, this whole ordeal started back in September 2019 when Nurjanov began soliciting funds from unsuspecting investors. He promised them excellent returns on their investments, even drafting up agreements that outlined how profits would be split. The catch? He was using the money from new investors to pay off old ones, a classic move in the Ponzi playbook.
Nurjanov assured his investors that their hard-earned cash would only be used for stock trading, agreeing to fork over “50% of clean profit” back to them. However, he soon found it easier to whip up fraudulent documents that showed false investment returns to lure in more victims.
How Much Did He Steal?
The DOJ laid bare the extent of Nurjanov’s misdeeds. He managed to reel in multiple investors, including one who handed over $50,000 back in October 2019. This initial investor was shown fake statements that hinted at successful returns, building a false sense of security.
Fast forward to December 2020, another victim got sucked into the scheme with their own $50,000 investment, only to follow that up with an additional $142,500 just a couple of months later. By June 2022, after selling their business, this investor trusted Nurjanov enough to throw in an astounding $325,000 more!
But wait, there’s more! Another investor, who was brought on by the first victim, was misled by multiple false statements and wired a hefty $200,000 to Nurjanov, thinking they were making a wise investment choice.
The Reality Check
While some investors did receive what seemed like returns, those funds weren’t from legitimate profits – they were simply money passed along from new investors to keep the scheme alive a little longer. In total, the DOJ claims that Nurjanov swindled victims out of an eye-watering $1,524,500!
Consequences of Greed
In addition to his prison sentence of just over three years, Nurjanov has also been ordered to pay a staggering $1,505,500 in restitution to victims. Reports indicate that he splurged parts of the money on personal living expenses, a clear indication of how deep his greed ran.
This case serves as a somber reminder to all of us to keep our guard up when it comes to investments, especially those that seem too good to be true. With these types of schemes lurking in the shadows, it’s always wise to do your research and verify before trusting someone with your hard-earned cash.
As we continue to follow this story, let’s hope that justice prevails not just in Austin, but everywhere that investment fraud rears its ugly head.
