Friday, March 9, 2007
Real estate promoter, Gene O'Neal, founder of Pinnacle Development Partners, was indicted in Atlanta on charges of running a Ponzi scheme. O'Neal allegedly raised $69 million from 2,000 investors by promising 25% returns in 45 or 60 days by purchasing and selling distressed properties and advertised in publications like Newsweek and WSJ. A federal receiver was appointed to recover assets for the investors. Mr. O'Neal denies all charges. See NYTimes, Real Estate Promoter Is Indicted and WSJ, Pinnacle Development Head Faces Ponzi Scheme Charges.