DENVER, Co. (CW69 News at 10) – A Colorado federal grand jury in returned an indictment that was unsealed Tuesday charging a Buford, Georgia man and an Illinois woman with running a Ponzi scheme that raised approximately $650 million from investors across the country, according to a statement from the U.S. Attorney’s Office.
According to court documents, from late 2017 until early 2019, Ron Throgmartin, 57, of Buford, Georgia, and Reva Joyce Stachniw, 69, of Galesburg, Illinois, were charged with running a Ponzi scheme, along with a third co-conspirator, Mark Ray. Ray was previously charged by criminal information for his role in the Ponzi scheme in the Central District of Illinois in February 2020.READ MORE: Eric Clapton Announces Concert Dates Including In Tampa
According to the indictment, Stachniw, Throgmartin, and other co-conspirators solicited hundreds of millions of dollars from victim-investors throughout the United States. Most often, the conspirators fraudulently represented to victim-investors that their investments were backed by short-term investments in cattle.
They also used false and fraudulent pretenses to solicit money from victim-investors for the conspirators’ Colorado-based marijuana business, Universal Herbs LLC. Other victim-investors gave the conspirators money based on false promises that investment money would be used for legitimate business activity related to cattle or marijuana, without having the investment money linked to specific investment opportunities.
In all three variations of the conspirators’ investment fraud scheme, victim-investors were promised returns of approximately 10% to 20% over periods as short as several weeks. At no point did Stachniw, Throgmartin, or Ray tell victim-investors that they were primarily using their money to repay other investors in a Ponzi-style investment scheme, or to enrich themselves. Stachniw and Throgmartin allegedly received millions of dollars from the scheme, despite putting little to none of their own money into it.READ MORE: Child Tax Credit: When Will You Get Your First Check?
Stachniw and Throgmartin are each charged with one count of conspiracy to commit wire fraud and bank fraud, five counts of wire fraud, and one count of conspiracy to engage in money transactions in property derived from specified unlawful activity.
Stachniw and Throgmartin made their initial court appearance Tuesday before U.S. Magistrate Judge N. Reid Neureiter of the U.S. District Court for the District of Colorado.
If convicted, Stachniw and Throgmartin face a maximum penalty of 30 years in prison and a $1 million fine for conspiracy to commit wire fraud and bank fraud, 20 years in prison and a $250,000 fine for wire fraud, and 10 years in prison and a $250,000 fine for conspiracy to engage in money transactions in property derived from specified unlawful activity.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.MORE NEWS: SunTrust Bank Robber Found With ‘This Is A Robbery Quickly # Go Dawgs!’ Robbery Note Pleads Guilty