(Yet Another Ponzi Scheme) Accused NY financier Cosmo detained for now: judge

[UpInArms]

Source: Reuters

ENTRAL ISLIP, New York (Reuters) - A private New York financier accused of bilking clients who invested $370 million with his firms should be detained until his lawyers and prosecutors agree on bail conditions, a U.S. judge ruled on Thursday.

Agape World Inc chief executive officer Nicholas Cosmo, 37, was arrested on Monday night and charged with wire fraud, one of a rash of Ponzi schemes investigators across the United States say they have uncovered in the wake of the market meltdown.

Authorities on New York's Long Island accused Cosmo of using investor money for personal expenses such as jewelry, limousine rides and hotel stays, and to pay more than $212,000 in court-ordered restitution to investors following a prior fraud conviction.

Federal prosecutors, the FBI and the U.S. Postal Inspection Service said Cosmo falsely promised substantial returns to investors through what were purported to be short-term, high-interest "bridge" loans to businesses provided by his Agape World Inc and Agape Merchant Advance LLP (AMA) firms.

Read more: http://www.reuters.com/article/newsOne/idUSTRE50S4UZ20090129?sp=true

[SoxFan]

1. ?

[Occam Bandage]

2. Cosmo detained for offering 40 sizzling ways to please his investors, new makeup tips for summer.

[whistle]

3. Financial derivatives are nothing more than an elaborate Ponzi scheme

...this who market must be shut down now, put through bankruptcy reorganization and all of the illegitimate claims declared worthless gambling bets

[The Sushi Bandit]

4. BREAKING: Photo of Cosmo meeting with lawer!!