BULLETIN: New Jersey Ponzi Scheme Figure Jenifer Devine Pleads Guilty To Wire Fraud; Case Was Brought By Financial Fraud Enforcement Task Force

A New Jersey woman accused of operating an $8 million Ponzi and investment-fraud scheme has pleaded guilty to wire fraud.

Jenifer Devine, 39, of Fair Lawn, was accused in November 2010 of ripping off investors in a purported wholesale business  known as Devine Wholesale, which purportedly offered clothing and electronics.

But it was a promissory-notes Ponzi scheme that featured bogus inventory lists and caused investors to lose more than $2 million, federal prosecutors said.

Investors were lured by promises of returns of up to 25 percent every 30 to 60 days, but Devine’s company was fraudulent and she spent some of the money on a Royal Caribbean cruise and purchases at luxury retailers such as Burberry, Gucci and Coach.

Devine faces up to 20 years in federal prison.

The case was brought by elements of the Financial Fraud Enforcement Task Force and prosecuted by the office of U.S. Attorney Paul J. Fishman.