Michigan man convicted in $72 million Ponzi scheme
Attorney General says man solicited investors through website
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DETROIT – A Swartz Creek man pleaded guilty Feb. 16 to wire fraud for his role in conducting a Ponzi scheme.
The Attorney General's Office announced Friday that Gregory McKnight, 52, solicited investments between 2005 and 2007 from members of the public promises of "exorbitant rates of investment returns, upwards of 15 percent per month."
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McKnight offered the investments through www.Legisi.com. He obtained more than $72 million from more than 3,000 investors worldwide.
He used the investor funds to pay periodic redemption requests of other investors.
Investors lost more than $49 million because of McKnight's scheme.
His sentencing is June 19. If convicted, he faces a maximum of 20 years in prison and a fine of up to $250,000.
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