Michigan investment adviser Dante DeMiro has been sentenced to 10 years
in prison and ordered to pay nearly $13 million in restitution for the
operation of a
Ponzi scheme that defrauded a Michigan school district and several local governments
out of millions of dollars.
A criminal complaint was filed against DeMiro in September of 2010, as
the result of an FBI investigation into his activities. A Grand Jury indicted
him a month later, and he pled guilty to five counts of bank and wire
fraud on April 19, 2011.
According to the September complaint, DeMiro, through his firm Munivest,
operated a Ponzi scheme that defrauded the Mona Shores school district
out of approximately $3.5 million, which the district raised through the
passage of a 2009 bond. Instead of investing the money in secure, federally
insured CDs as he had promised, DeMiro used the funds for his own benefit
and to make Ponzi payments to other investors, including Lapeer County
and Comstock Township. (For details on the scheme, click
According to the
Associated Press, DeMiro's victims lost more than $7 million.