Ponzi Scheme in New York
Say goodbye to the last remnants – 900 acres of upstate New York State land – formerly owned by Agape World Inc., a $400 million Long Island, NY-based Ponzi scheme perpetrated by Nicholas Cosmo. Agape World purportedly made commercial bridge loans.
2 bidders paid $340,000 in back taxes to split this last parcel of Agape World just this month. One of the bidders said his 550 acres would be turned into a great big cornfield.
The sale was part of the restitution to the victims of this large-scale Ponzi scheme. Nearly 4000 investors, all victims of Cosmo’s scam, combined to lose more than $179 million and are at best recouping a penny to every dollar lost. So far, prosecutor have been able to trace only $10 million of the all the bridge loans made through the dizzying amount of dummy corporations, etc. that Cosmo threw up.
Earlier this year four former Agape World brokers have been charged with conspiracy after the complaint was unsealed. It has been claimed that these four employees, together with ten others, made off with roughly $52 million in commissions.
In 2010 Cosmo pleaded guilty to 2 counts of mail and wire fraud. He is now serving a 25-year sentence in federal prison.