New York 'Mini-Madoff' Busted

Cops accuse New York financier of scamming investors out of millions
By Rob Quinn,  Newser Staff
Posted Jan 27, 2009 6:09 AM CST

(Newser) – New York police have busted a financier accused of running a Ponzi scheme, Reuters reports. Nick Cosmo—sentenced to 21 months on swindling charges in 1999—may have bilked investors of up to $380 million through his firm Agape World, which claimed to make high-interest bridge loans, according to authorities. Police had to escort Cosmo from his Long Island office last week to protect him from a mob of violent investors.