Eric V. Bartoli, a fugitive for over a decade, was sentenced to 20 years in federal prison for orchestrating a $65 million Ponzi scheme that defrauded approximately 800 investors across the United States and Latin America. The scam, which ran from 1995 to 1999, preyed on retirees and working-class individuals who trusted Bartoli with their life savings through his company, Cyprus Funds, Inc., based in Doylestown, Ohio, and incorporated in Central America.
Bartoli pleaded guilty earlier this year to eight federal charges, including conspiracy, securities fraud, sale of unregistered securities, wire fraud, mail fraud, and attempted income tax evasion. Court records reveal he used new investor money to pay fake returns to earlier victims, a hallmark of classic Ponzi operations. Some investors lost everything, left in financial ruin after believing they were purchasing legitimate certificates of deposit and mutual funds.
The Securities and Exchange Commission sued Bartoli in 1999 over the fraudulent activities of Cyprus Funds, Inc. When he failed to appear at a scheduled hearing, the court found him in contempt and issued a civil arrest warrant. Bartoli vanished from Ohio shortly after, evading capture even after being briefly apprehended in New Hampshire, where authorities inexplicably did not detain him. He remained on the run for more than 13 years.
A federal indictment was filed against Bartoli in October 2003 in the U.S. District Court for the Northern District of Ohio. It wasn’t until 2013 that justice caught up with him—Peruvian National Police, working with the FBI and Diplomatic Security Service, arrested him in Lima, Peru. After years of legal proceedings and extradition battles, Bartoli was returned to the United States last year to face judgment.
“Mr. Bartoli spent years stealing millions of dollars from hard-working people, then more than a decade on the run,” said U.S. Attorney Carole S. Rendon. “Sometimes the wheels of justice grind slowly, but today Mr. Bartoli was finally held accountable for his crimes. The fact that he will spend the foreseeable future in prison is a testament to the efforts of everyone who worked on this case.”
“After years of living on the run, Mr. Bartoli will now serve time behind bars for swindling individuals out of large sums of money, including entire life savings,” said FBI Special Agent in Charge Stephen D. Anthony. “The FBI will continue to investigate fraudsters, like Eric Bartoli, and will hold them accountable for their criminal behavior, no matter how long it takes and no matter where they try to hide.” The case was prosecuted by Assistant U.S. Attorneys Antoinette T. Bacon and Christos M. Georgalis following a joint investigation by the FBI, IRS Criminal Investigation, and the SEC.
Related Federal Cases
- Bartoli Busted: Fugitive Ponzi Scheme Kingpin Held in Peru · New Hampshire
- NY Man Gets 24 Months for Multi-State Bank Fraud Scheme · New Hampshire
- Belmont Man Admits to Bank Fraud Scheme · Maryland
- Eric Judkins Gets 12 Months for IRS Refund Scheme · Pennsylvania
- Live Nation Faces Trial Over Monopoly Practices · Washington
Key Facts
- State: Ohio
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
🔒 Get the grimiest stories delivered weekly. Subscribe free →
Browse More
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News