Investment and Securities Fraud

The federal government prosecutes Ponzi scheme cases aggressively. If you have been charged with operating an online Ponzi scheme, it is important to retain a knowledgeable criminal defense lawyer with federal court experience. At The Law Offices of David T. Schlendorf, attorney Schlendorf vigorously defends clients charged with operating Ponzi schemes and other types of pyramid schemes in New Jersey and New York.

David T. Schlendorf has been an attorney since 1997 and was a prosecutor for six years. He understands the federal court system and knows how prosecutors build white collar crime cases such as those involving online Ponzi schemes. He is a certified criminal trial attorney, a distinction held by only 2 percent of New Jersey lawyers.

Characteristics of a Ponzi Scheme

Ponzi schemes are typically investment schemes that promise very high returns. At the beginning, the high returns are indeed paid to investors, but not because the investments actually achieve the return promised. Rather, the fabulous returns are funded by new subscribers rather than actual earnings. When the instigator becomes unable to find new investors to fund the high rates of return, the scheme eventually collapses. This inevitability can be delayed when investors are persuaded to "reinvest" their returns.

These schemes have been around since the 1920s. The online version is harder to prosecute, as it is more difficult to determine exactly who should be held responsible for investors' losses. It is sometimes difficult to be certain that the investment is a Ponzi scheme, and there have been many examples of investment schemes that started as legitimate investments only to cross the line and focus more on investors rather than on producing a product or service.

Defending Against Online Ponzi Scheme Charges in State and Federal Courts

Defending a client against these online Ponzi scheme charges requires a thorough investigation of the charges and a painstaking review of the evidence. The prosecution often uses experts and specialists, including accounting experts who track the money. Attorney Schlendorf also employs investigators, forensic accountants and computer experts to develop alternative theories and build strong defense strategies.

New Jersey, attorney David T. Schlendorf has handled numerous online fraud cases, defending clients facing charges that include operating online Ponzi schemes. Call or e-mail him to schedule an initial consultation so that he can put his knowledgeable and determined advocacy to work for you. In addition to defending clients against federal charges throughout the United States, the firm serves people state-wide in communities such as Toms River, Asbury Park, Middletown, Long Branch and New Brunswick.