Randy Poulson, 42, has been charged with mail fraud, according to a Philly.com report. Prosecutors believe that Poulson engineered a “two-pronged scheme” to dupe both distressed homeowners and investors.
“In one prong of the scheme, Poulson caused distressed homeowners facing foreclosure to ‘sell’ their residences to Poulson for (his) return promise to pay the homeowners’ mortgages,” prosecutors alleged. “In the second prong of the scheme, Poulson successfully solicited more than 50 private investors to invest money into Poulson’s companies which purportedly bought and sold real estate. … Although Poulson claimed he would use the private investment money to acquire and rehabilitate real estate properties, in reality Poulson spent the private money on personal expenses and repaid, in part, other prior investors.”
Poulson allegedly spent investor cash on high-end child daycare, rent-to-own payments on a beach house and Philadelphia Union tickets, according to Philly.com. He promoted his scheme through weekend seminars, dinner speeches and private sessions “purporting to teach real estate investing tips to individuals who paid fees to attend,” according to the US Attorney’s Office.
If convicted, Poulson faces up to 20 years in prison and a fine of up to $250,000, Philly.com reported.
A Pennsylvania man has been accused of masterminding a $3 million Ponzi scheme that bilked at least 25 homeowners out of their mortgages and also duped real estate investors.