FBI Asks For Help In Unraveling Connecticut Ponzi; Seeks Information On Michael Goldberg

ponzinewsThe FBI has asked people who have information on Michael Goldberg, who ran a business in Wethersfield, Conn., known as Acquisitions Unlimited Group (AUG), “to immediately contact the FBI at (203) 777-6311.”

Goldberg, 38, was arrested today on charges he had operated a $20 million Ponzi scheme over a period of 12 years from his former home in Wethersfield. He surrendered voluntarily, after initially contacting law enforcement last week. Goldberg was freed after posting a bond of $1 million.

His initial contact with law enforcement occurred Nov. 16, federal prosecutors in Connecticut said today. Investigators preliminarily have determined that victims may exist in Connecticut, New York, Florida, Arizona, California and Vermont.

A federal magistrate judge adjourned the case for three months “to permit the government to continue to investigate the extent of Goldberg’s alleged scheme,” prosecutors said.

Goldberg ran AUG between 1997 and 2009, according to court statements today. More than 100 investors directed more than $20 million to the alleged scheme, prosecutors said.

Goldberg “falsely represented to prospective investors that he and AUG were in the business of liquidating assets held by JP Morgan Chase (formerly Chase Manhattan Bank), and that GOLDBERG induced investors to provide him and AUG funds by promising and paying up to 20 percent quarterly returns,” prosecutors said.

But Goldberg’s promises to investors were false. He “never had a relationship with Chase, nor did he purchase or liquidate assets as he represented,” prosecutors said.

“Rather, Goldberg paid old investors with new investor funds,” prosecutors said.

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