Ponzi scheme mastermind pleads guilty

The Associated Press reports that an Oakland County man accused of a $200 million investment scam pleaded guilty in federal court April 29.

Edward May, who was charged in 2009, is accused of misleading people into thinking they were putting money into telecommunication deals. The government says it was a massive Ponzi scheme, with money recycled between investors.

The government says losses exceeded $35 million by 2007 when the U.S. Securities and Exchange Commission stepped in with a civil lawsuit.

In March, Michigan Lawyers Weekly reported on Detroit-area stockbroker Frank J. Bluestein — who was accused of advising and selling bogus investments as part of May’s scheme — having an SEC complaint filed against him, asserting he received $3.8 million for steering investments toward May. That litigation is pending.

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