BUFFALO, N.Y. (AP) — A federal grand jury has convicted a 46-year-old former western New York attorney of mail fraud in connection with a multimillion-dollar Ponzi scheme.

Prosecutors said that between January 2008 and December 2010, James MacCallum, of Bemus Point, encouraged victims to liquidate their investments to take advantage of higher rates of return with his investments. MacCallum claimed his investments were secured by real estate and life insurance policies.

Government evidence showed that MacCallum was using the investments of his victims to pay back earlier investors, and also to pay personal, travel, and office expenses.

The scheme defrauded investors out of approximately $3.4 million.

The verdict was announced Friday. Sentencing is set for July. MacCallum faces up to 20 years in prison and a $250,000 fine.

Comments

Leave a Reply

Please log in using one of these methods to post your comment:

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

More From CBS13 | CBS Sacramento

Get Our App
Get The CBS Sacramento Weather AppGet the latest radar, CBS13 AppCasts and hour-by-hour forecasts. You can also send your weather pics.

Watch & Listen LIVE