Ponzi schemes are bad enough but when based on affinity fraud and preys on elderly people’s religious beliefs in any manner it is just worse. The SEC announced that they have charged a prominent Cuban-American couple in Miami with a $135 million ponzi scheme. This is a large ponzi scheme whose size is almost comparable to to a Bernie Madoff-sized scam.
The SEC alleges that the couple, Gastin and Teresita Cantens are prominent in Miami’s close-knit Cuban-American community but started to “ruthlessly exploit vulnerable elderly investors who trusted them with their life savings.” To be successful fraudsters the Cantens held themselves out as a “pious couple closely involved with educational and religious organizations” but, according to the SEC were really using defrauded investors’ money to support a lavish lifestyle.
All fraud is wrong but to me it is particularly egregious if the fraudsters take advantage of elderly people and those people’s religious and charitable beliefs.