Michael Joseph Krzyzaniak, of the Minneapolis - St. Paul area, has been
indicted on multiple fraud charges related to an alleged $20 million investment
scam ("Minnesota man charged in $20M investment scams,"
The Associated Press, April 15, 2011).
According to the indictment, 62-year-old Krzyzaniak defrauded investors
out of approximately $20 million through the solicitation of investments
in ventures that were left continually unfinished. Ventures listed in
the indictment included investments in airport Internet terminals, golf
courses, a golf club resort, and a racetrack. The indictment also accuses
Krzyzaniak of misappropriating $6.1 million of investor funds for his
Krzyzaniak was convicted of fraud in 1993. According to theStar Tribune, Krzyzaniak (also known as Michael Joseph Crosby) did not inform investors
of his previous conviction.
As reported in the Star Tribune article, he faces a total of 31 charges:
20 counts of mail fraud and wire fraud, three counts of money laundering,
and eight tax-related counts. A bond hearing has been scheduled for next week.