EXCLUSIVE: GARDAI and the Central Bank are investigating ANOTHER dodgy pyramid scheme run by a Donegal man who is alleged to have lost hundreds of thousands of euro for investors – as well as himself.
Sources say dozens of investors are thought to have lost their cash in the scheme.
And it’s not as if they weren’t warned.
It follows the case of French crook Francois de Dietrich, the Ballybofey-based fraudster who took millions of euro from investors in a similar con-trick.
However the latest scheme, say our sources, was said to be “much more believable” and came from what was believed to be a frontman with a good reputation.
Source say he too was duped by another investor – and his investors are believed to have made formal complaints after realising they had been sucked into a pyramid scheme.
The schemes offered investors returns of more than 20% – but were actually funded by other investors.
Eventually the money in the ‘business’ ran out.
“This is another big case of people thinking they could get huge returns on their money but it turns out to have been yet another scam,” said one source.
“I think a lot of people will be surprised at those involved.”
Another source – whose help led donegaldaily.com to expose French conman de Dietrich a year ago – told us: “There’s no such thing as a 20% return on anything these days so people who got caught were just greedy. It doesn’t mean they deserved to be cleaned out of their money – but they were greedy.”
De Dietrich (left) is still on the run. A case against him in Belfast for conning 200 Donegal people out of €20M is to be heard in the New Year.
Another source told us: “The man behind this scheme is totally innocent. He didn’t know the scheme was dodgy and has vowed to help investors get their money back.”
* Were you caught out in the latest scam? We might be able to help. Contact us in complete confidentiality on email@example.com.
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