Related Federal Cases
- Denver Woman Gets 4 Years for $3.3M COVID Loan Scam · Colorado
- Denver Hospital Worker Poisoned Patients for Pain Pills · Colorado
- Durango Restaurateurs Cook Up Tax Evasion Scheme · Colorado
- Four Co-Conspirators Charged in Nationwide Tax Shelter Scheme · Colorado
- Trading Firm Executives Guilty of $179M Wire Fraud Scheme · Colorado
Denver Business Owner Sentenced to 77 Months in Ponzi Scheme
Michael James Turnock, a 69-year-old Denver business owner, was sentenced to 77 months in federal prison for his role in a massive Ponzi scheme that defrauded over 50 investors out of $4,187,143.90.
According to the U.S. Attorney’s Office, Turnock devised the scheme in 2002, where he obtained money from investors by making false and fraudulent promises about the financial health of his company, Bridge Premium Finance (BPF).
Instead of using the money to fund his clients’ insurance premiums, as promised, Turnock used the funds to pay BPF-related expenses, fund his other businesses, and pay personal expenses. He also prepared false financial reports to mislead investors about the company’s financial position.
The scheme came to an end in August 2012, when the Securities and Exchange Commission (SEC) froze BPF’s assets after receiving a complaint from a note-holder who requested a withdrawal. At the time, BPF had over 100 note-holders, with more than $4,000,000 invested.
Turnock was originally charged by Information on February 14, 2013, and waived his right to be charged by indictment. He pleaded guilty to one count of mail fraud and one count of money laundering.
U.S. District Court Judge Christine M. Arguello ordered Turnock to pay $4,187,143.90 in restitution and to forfeit certain assets. He will also serve three years of supervised release after his prison sentence.
The investigation was conducted by the U.S. Attorney’s Office, IRS – Criminal Investigation, the Federal Bureau of Investigation, and the U.S. Postal Inspection Service.
RELATED: Colorado Springs Funeral Home Owner Pleads Guilty to Wire Fraud Scheme
RELATED: Colorado Kickback Crew Gets Prison Time
Key Facts
- State: Colorado
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
MORE FEDERAL CRIME NEWS
White Collar CrimeWhite Collar CrimeWhite Collar CrimeWhite Collar Crime