Audio Transcript

Mr. Schiff: Millions to billions of dollars lost in various frauds in recent years. FBI Special Agent John Lyons in Philadelphia says Ponzi is one of the biggest white collar schemes.

Mr. Lyons: "The subject of the fraud has to keep getting new investors in because he’s paying off the earlier investors with latter money.”

Mr. Schiff: Lyons investigated a local fund-raiser who bilked victims out of $35 million.

Mr. Lyons: "Immediately, from day one, started lying to them about the returns he was achieving.”

Mr. Schiff: The schemer was nice at first—in 1995, he donated a gym and a football field. Lyons says it was not so good come 2008.

Mr. Lyons: "Those early investors were happy with what was happening.”

Mr. Schiff: Many victims lost their life savings. Lyons says the subject faced counts on four charges.

Mr. Lyons: "Mail fraud, wire fraud, bank fraud, and money laundering.”

Mr. Schiff: It’s prison time for the bad guy who did turn himself in. For those charges, a federal judge in Philadelphia sentenced him to 15 years behind bars. I’m Neal Schiff of the Bureau, and that’s the FBI’s Closed Case of the Week.”