Forty-four-year-old John Michael Thibodeaux of Belle Rose faces criminal charges for running an alleged Ponzi scheme. Assumption Parish Sheriff office spokesman Lonny Cavalier says they’ve investigated Thibodeau for five months and since arresting him Friday, other potential victims have come forward.
“Basically, he was for lack of a better term, robbing Peter to pay Paul. And all these people were actually friends of his.”
An arrest warrant in connection to one case was issued Friday, Cavalier says there are at least 5 more victims and the amount that was stolen was significant.
“Its going to go well over quarter million dollars and it could be more. We’re not absolutely sure at this point.”
The victims became suspicious when they stopped receiving interest payments after a few months or some never received any payments. When asked to show financial records, Thibodeaux couldn’t produce any and shows he has no E-trade account.
Cavalier warns people to be caution when the opportunity seems too good to be true.
“You know top rates right now on CD’s are basically 5.25% and that’s top rates. So if you’re getting people that’s committing 10, 12 or 15 percent interest as he was doing, and that should be a red flag. That is not likely in todays market conditions that’s not a realistic number.”
Cavalier said that all the knows victims are Thibodeaux’s personal friends. He was booked Friday with theft and unlawfully promoting a pyramid scheme.
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