Jury Convicts Florida Woman Who Ran Bizarre Ponzi And Fraud Scheme With Husband; Marian I. Morgan Guilty On All 22 Counts, Including Wire Fraud And Money-Laundering

A 57-year-old Florida woman who ducked out of the United States with her husband after becoming implicated in a $28 million HYIP/prime-bank swindle has been found guilty of wire fraud, money-laundering, conspiracy, interstate/foreign transportation of stolen funds and tax crimes, U.S. Attorney Robert E. O’Neill of the Middle District of Florida announced.

The investigation into the business affairs of John and Marian Morgan of Sarasota began as an SEC civil case and morphed into a 22-count criminal prosecution with bizarre international and domestic twists. The Morgans initially high-tailed it for Europe in a bid to duck the SEC and then ventured to the island nation of Sri Lanka, where they were jailed in 2009 for passing a “forged instrument,” expelled and returned to the United States.

John Morgan pleaded guilty to criminal charges of wire fraud and conspiracy in June 2011. Marian Morgan, whom the Sarasota Herald Tribune reported two years ago had text-chatted with her gardener to make sure he was maintaining the couple’s Florida mansion while they were jailed in Sri Lanka, chose to go on trial.

The Morgans were fraudsters at the helm of Morgan European Holdings, a Ponzi factory with a high-sounding name.

“They promoted sham ‘high yield/ prime bank note’ investment programs through the company, promising investors that they would receive returns of 200-300% in three months and that their principal funds would be held safe in an escrow account in Denmark,” prosecutors said. “Evidence at trial, however, showed that the Morgans spent approximately $11 million of investor money on themselves soon after investors wired the funds to the escrow account. The Morgans purchased luxury automobiles, a waterfront mansion, and numerous luxury items with investor funds.”

While jailed in Sri Lanka, Marian Morgan complained to a U.S. judge about “filthy” conditions and being housed alongside “murderers and heroin dealers,” according to court records.

She told the same judge that the couple’s “biggest client”  in the United States hired them to lay the banking groundwork for $1.6 billion in infrastructure projects” in Sri Lanka and the Maldives and that the government of Sri Lanka had falsely accused them of presenting a “forged bank document.”

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2 Responses to “Jury Convicts Florida Woman Who Ran Bizarre Ponzi And Fraud Scheme With Husband; Marian I. Morgan Guilty On All 22 Counts, Including Wire Fraud And Money-Laundering”

  1. The Herald Tribune has a number of stories on this case. It is worth reading some of the stories from earlier this month. It may give some indication on how Honest Andy’s trail may progress.
    http://www.heraldtribune.com/apps/pbcs.dll/search?crit=%2522john%20morgan%2522%20OR%20%2522marian%20morgan%2522&Start=1

    Those ASD “victims” who are getting their “investment” back may like to read some of the stories where people invested $270,000. In this ponzi scheme there is no money to give back. It has all been spent.

      (Quote)

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