America
Indo-Canadian charged in ponzi scheme
Toronto, Feb 5
An Indian-origin former
financial planner has been charged with 32 counts of Securities Act
violations in Canada for advising clients to invest in a $110-million
fraudulent scheme operated by a former Vancouver notary, a media report
said Thursday.
Arvindbhai Bakorbhai Patel, who worked as a
British Columbia Coast Capital Savings financial planner, convinced
about 90 investors to place nearly $29 million with former notary public
Rashida Samji, who is facing 28 criminal charges of fraud and theft,
CBC News reported.
"I feel betrayed by a friend, and also I feel
morally responsible for introducing my daughter to this scheme and
losing her money," Victor Vishwanathan, who is among 15 alleged victims
of Patel, was quoted as saying.
Last month, the British Columbia
Securities Commission fined Samji $33 million for running a ponzi
scheme. The commission, said that investors believed they were providing
financial backing for the expansion of foreign wineries built by the
Mark Anthony Group.
They were told the money would be used as
collateral for loans, but it remained in Samji's trust. The company had
no idea its name and reputation were used in association with the
scheme.
The charges against Patel carry maximum penalties of $3 million and up to three years in prison.