Chicago Money Manager Accused of Alleged Ponzi Scheme to Face Fraud Charges in Court

A businessman accused of running a Ponzi scheme that swindled 290 people out of $3.5 million will face fraud charges in court this week.

David J. Hernandez is set to appear at 10 a.m. Wednesday for his arraignment before U.S. Magistrate Judge Susan Cox to answer four counts of mail fraud for promising investors 10 to 16 percent returns on investments he never made.

The 48-year-old Hernandez was a co-founder of the now-defunct — an Internet radio station.

Hernandez vanished after news of the alleged scheme emerged.

After the indictment was returned, police located him at a hotel in downstate Normal and took him to a hospital, where he was treated for what authorities say appeared to be self-inflicted injuries.

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