Richard K. Booy Charged in $1M Elder Fraud Scheme

Richard K. Booy, 48, of Vernon Hills, Illinois, is facing federal charges in a $1 million Ponzi-type scam that preyed on elderly investors desperate to protect their retirement savings. According to a criminal complaint unsealed Wednesday in U.S. District Court in Chicago, Booy promised no-risk investments and guaranteed returns while operating fraudulent firms under the names Principal Financial Strategies LLC and Safe Financial Strategies Inc.

Booy falsely claimed ties to the nationally recognized Principal Financial Group, a lie that lent false credibility to his operation. In reality, he had no affiliation with the company and was not authorized to invest client funds. Instead, he funneled at least $1 million from more than 15 victims into personal accounts, using the cash to cover credit card debt, buy electronics at Best Buy, and pay for DirecTV services—all while doling out fake returns to earlier victims in classic Ponzi fashion.

The scheme began in June 2014 and continued into this month, surviving even a legal blow in September when Principal Financial Group secured a temporary restraining order against Booy. Federal agents seized computers and evidence from his Vernon Hills home, yet Booy allegedly kept soliciting new investors and taking their money—some of whom handed over their entire life savings.

Victims include vulnerable individuals such as a Chicago pastor, a retired painter, a former government worker, and a person living with Parkinson’s Disease. Booy often visited them in their homes, spinning tales of guaranteed profits and shielding his lies with the veneer of legitimacy. Many believed their money was safely growing under the umbrella of a major financial institution—none of it true.

Booy is charged with one count of mail fraud, a felony that carries a maximum sentence of 20 years in prison. He is scheduled to appear today at 3:00 p.m. before U.S. Magistrate Judge M. David Weisman. The case is being prosecuted by Assistant U.S. Attorney Matthew Ebert and investigated by the U.S. Postal Inspection Service, the Department of Labor’s Employee Benefits Security Administration, and the Illinois Securities Department.

The Justice Department reminded the public that a complaint is not evidence of guilt. Richard K. Booy is presumed innocent until proven guilty beyond a reasonable doubt in a court of law. The government now bears the burden of exposing the full extent of his alleged deception before a judge and jury.