Framingham Man Sentenced to 102 Months for Alleged Ponzi Scheme
Richard Elkinson, of Framingham, recently received a 102-month prison sentence for an alleged Ponzi scheme. Elkinson pleaded guilty earlier this year to 18 counts of mail fraud in the scheme.
Officials say that Elkinson ran the Ponzi scheme over the course of 20 years, and told investors that he worked as a broker with a clothing manufacturer in Japan. Investors were told that the company contracted to make uniforms for the U.S. government, and they could make returns of 9% - 15% investing in the deal. Unfortunately, officials state that the investment opportunity was a sham, and Elkinson was using investors' cash to pay off prior investors. Investors apparently received no documentation from Elkinson in the deal except for promissory notes.
Investors started to get wise to the alleged scam in the aftermath of the Bernard Madoff news. As his investors started asking for documentation and information, Elkinson apparently started making plans to flee. He left Framingham at the end of 2009 and was picked up later at a casino in Mississippi.