JACKSON, Miss. – The Latest on a Mississippi man accused of running a $100 million Ponzi scheme (all times local):
A Mississippi man plans to plead guilty in a fraud scheme that raked in more than $100 million.
Arthur Lamar Adams waived indictment Tuesday in a federal court hearing in Jackson after being charged with wire and bank fraud.
His lawyer, John Collette, says Adams is cooperating with prosecutors and is likely to plead guilty at a later date.
Adams could face up to 70 years in prison and up to $1.5 million in fines.
Charges say the 58-year-old Adams took in more than $100 million from more than 250 investors in 14 states over seven years.
Prosecutors say Adams asked investors to loan him money, guaranteeing repayment at a high rate of interest. Adams told investors he was buying timber cheaply and reselling it at a higher price.
Despite forged deeds supporting those claims, prosecutors say Adams was doing very little timber business and instead relied on new contributions to pay off older investors.
A Mississippi man is being charged in a Ponzi scheme that federal prosecutors say stole more than $100 million.
Arthur Lamar Adams was charged with wire fraud and bank fraud in federal court in Jackson. He's scheduled to appear before a judge Tuesday.
The criminal charge says the 58-year-old Jackson resident defrauded more than 250 investors in at least 14 states. It says Adams told investors he was buying timber cheaply and reselling it at a higher price. However, prosecutors say Adams was lying, despite fraudulent documents supporting his claims.
Investors would loan Adams' company money at a guaranteed interest rate for 12 or 13 months, with Adams relying on new investors to repay principal and interest to older investors.
Federal court records don't list a lawyer for Adams.