The “3 Hebrew Boys” are headed to prison after their Ponzi scheme collapsed, revealing an $82 million scam. The trio, who named themselves based on the Biblical story of Shadrach, Meshach, and Abednego, promoted their con at churches and near military bases using rhetoric reminiscent of the prosperity gospel televangelists. In exchange for faith and a cash investment, they promised returns of 200 percent or more on what were claimed to be investments in foreign currency.
During the course of their scam, the 3 Hebrew Boys traveled to churches across the Southeast United States, claiming that their system would allow parishioners to rapidly pay off their mortgages and credit card debts. Only 1 percent of the money placed with the men was ever invested in foreign currency markets. Other investments made by the group included a limo service and other small businesses, but most of the money went to purchase luxury items for the men, including high-end automobiles, vacation homes, a $1 million motor home, and a $5 million personal jet.
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For previous coverage of advisor scams in Advisor’s Journal, see Advisor Fakes Death to Avoid Fraud Charges (CC 10-83).
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