Jeremy Richard Lundin, 31, was sentenced to 110 months in federal prison for running a multimillion-dollar Ponzi scheme through his company, Big Island Capital. The Minnesota con man pleaded guilty on September 22, 2017, and was sentenced by Judge Wilhelmina M. Wright in U.S. District Court in Saint Paul. Lundin stole more than $1 million from at least 51 individual investors, none of which was used for the options trading he promised.
Judge Wright didn’t hold back during sentencing, tearing into Lundin’s sense of entitlement. ‘You did not steal from your victims because you needed money … you stole money because you wanted to maintain a lavish lifestyle without earning it,’ she said. ‘You used their money to buy vacations, clothes, vehicles, a boat, for yourself. Apparently you decided you deserved their money more than they did.’
Lundin pitched Big Island Capital as a high-return investment vehicle, claiming he specialized in ‘options trading’ that could generate returns of 40 to 80 percent. From December 2014 to May 2017, he used phony documents and a polished sales pitch to lure in ordinary people — many of them saving for retirement or their children’s college educations. He signed them to fake contracts promising safekeeping of funds, all while funneling their cash into luxury spending for himself and his wife.
‘Jeremy Lundin had a life that a lot of people dream of, a middle class life,’ said Assistant U.S. Attorney Amber Brennan. ‘But he wanted things he could not afford, so he stole from people who had saved money for their retirement and to help their kids go to college.’ The victims, she emphasized, were hardworking individuals who believed they were investing in their futures — only to have Lundin rip them off for a lifestyle he didn’t earn.
Federal investigators say Lundin used the U.S. mail system to send fraudulent agreements and fake account statements, triggering charges tied to mail fraud. Acting Special Agent in Charge Hubbard Burgess of IRS Criminal Investigation called the crime ‘shameful and devastating,’ adding that today’s sentencing shows how agencies are cracking down on those who exploit public trust for personal gain. ‘Federal law enforcement works together to help stop the criminal behavior of those who prey on innocent investors,’ he said.
Postal Inspectors and the Minnesota Commerce Fraud Bureau also played key roles in the case. Acting Postal Inspector in Charge Dana Carter warned that using the mail to commit fraud ‘will not be tolerated.’ Minnesota Commerce Commissioner Jessica Looman stated Lundin’s sole goal was self-indulgence: ‘To appear legitimate, Lundin used a slick sales pitch and phony documents to steal people’s life savings.’ The agency hopes the 110-month sentence sends a clear message: fraud won’t pay in Minnesota.
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Key Facts
- State: Minnesota
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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