Missouri Man sentenced in $52 million Ponzi scheme

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by Associated Press

Associated Press

Posted on August 7, 2012 at 2:26 PM

KANSAS CITY, Mo. (AP) -- A Kansas attorney faces three years in prison for his role in a scheme that bilked investors out of about $52 million.
 
James Scott Brown of Leawood pleaded guilty earlier to participating in a conspiracy to commit wire and mail fraud. He was sentenced Tuesday to three years in prison without parole and ordered to pay $34 million in restitution.
 
The U.S. Attorney's Office in Kansas City says investors loaned about $52.5 million through the scheme known as the British Lending Program. Victims thought they were loaning money for real estate projects, but Brown and two other men kept most of the money.
   
Martin Sigillito of Webster Groves, Mo., is awaiting sentencing after being convicted of leading the conspiracy. Derek Smith, of Oxfordshire, England, pleaded guilty and awaits sentencing.

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