Lebanese Citizen Charged with Operating $5 Million Ponzi Scheme Through His Foreign-Exchange Platform

MIAMI – Henry Abdo, 46, of Lebanon, has been charged by indictment, in the Southern District of Florida, with orchestrating a $5 million investment fraud (Ponzi) scheme run through his company, Titanium Capital LLC (“Titanium”).  The indictment alleges that Abdo committed wire fraud, in violation of federal law.  Today, Dec. 14, the Securities and Exchange Commission filed a civil complaint against Abdo and Titanium in federal court. 

According to the indictment, Abdo, Titanium’s founder and manager, advertised Titanium as a successful investment fund that operated a proprietary multi-currency foreign-exchange platform and invested in other profitable projects.  Titanium solicited investors by guaranteeing a fixed rate of return of 15%, the indictment alleges.  In fact, according to the indictment, Abdo made material misrepresentations about the nature of the intended investment, and in fact diverted investor funds by paying existing investors using new investor funds.  Abdo also, the indictment alleges, misappropriated investor funds to pay his personal expenses, including food, hotels, travel, and clothing.

If convicted of all charges in the indictment, Abdo faces a maximum penalty of 40 years’ imprisonment. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Abdo was ordered detained pending trial on the indictment.  This matter is scheduled for trial on February 26, 2024, before U.S. District Judge Aileen M. Cannon in Fort Pierce.

U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Jeffrey B. Veltri of the FBI, Miami Field Office, and Russell Weigel III, Commissioner, Florida Office of Financial Regulation (“OFR”), made the announcement.

U.S. Attorney Lapointe commended the investigative efforts of the FBI and OFR in this matter. He thanked the United States Securities and Exchange Commission for their assistance. Assistant U.S. Attorney Jonathan Bailyn is prosecuting the case. Assistant U.S. Attorney Daren Grove is handling asset forfeiture.

An indictment contains mere allegations. All defendants are presumed innocent until proven guilty in a court of law.

Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 23-cr-80209-AMC.

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