ABSTRACT
This chapter discusses the process, how the money comes in, and how the perpetrators use others’ money to carry out the scheme and to attract other victim-investors. The banks where the funds are deposited have responsibilities to watch for suspicious activities and to report them. Ponzi perpetrators present themselves as wealthy in order to attract others with money to invest. The total amount taken in the schemes refers to the total amount money received by the perpetrator, the principal, towards the alleged or promised investment instrument. Asset forfeiture is the taking of property by a government agency without compensation. Asset forfeiture is differentiated between civil forfeiture, criminal forfeiture, and administrative forfeiture. Disgorgement is an equitable remedy, taking back the wrongful gains of a Ponzi scheme. Restitution is the monetary remedy intending to recover and restore the illegally obtained funds to the rightful owner in criminal cases.
