Update: Scott Rothstein Arrested
December 1, 2009In a follow-up to an earlier post, high-flying South Florida lawyer Scott Rothstein was arrested this morning on RICO charges. As the ABA Journal explains:
He is accused of operating a Ponzi scheme involving investments in legal settlements. Investors were asked to make an upfront payment, supposedly to a lawsuit plaintiff expected a series of payments over a period of months or years. Later, the investors were told, they would get back the full settlement amount. “But it was all a scam,” according to the Miami Herald. “Federal prosecutors said there were no plaintiffs, no defendants, no lawsuits.”
To get a sense of what a weirdo this guy is, check out this video tour of his office.
-Michael
P.S. What’s with all the Ponzi schemes lately?
Susan Simpson
Michael Williams
I read somewhere that the dude used his Ponzi scheme money to pay off associate salaries. I love that. You know most partners totally would’ve found a better use for the cash.