An Amish man who promised guaranteed investment returns to thousands of Amish families actually lost half the money, and covered up the losses using a Ponzi scheme that ran for more than a decade, according to a lawsuit filed this week in federal court.The Amish Bernie Madoff?
The man, Monroe L. Beachy, 77, allegedly raised $33 million from 2,698 Amish families, nonprofit groups and businesses. He lost $16.8 million of it, but used money from new investors to continue paying dividends to existing ones.
Mark Frauenfelder is the founder of Boing Boing and the editor-in-chief of MAKE and Cool Tools. Twitter: @frauenfelder. Come and hear Mark speak at the ALA conference in Chicago on July 1.