IRS Forensic Investigations has been involved in multiple Ponzi scheme investiga…
IRS Forensic Investigations has been involved in multiple Ponzi scheme investigations. People often ask what exactly is a Ponzi scheme….
IRS Forensic Investigations has been involved in multiple Ponzi scheme investigations.
People often ask what exactly is a Ponzi scheme.
The definition is not that complex –
A Ponzi scheme is a fraudulent investing scam promising high rates of return with little risk to investors. The Ponzi scheme generates returns for older investors by acquiring new investors. This is similar to a pyramid scheme in that both are based on using new investors’ funds to pay the earlier backers.
The attached diagram from the New York Times shows why a Ponzi scheme will always fail.
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