US Can't Escape Gov't Workers' $120M Ponzi Scheme Suit

Law360, New York (December 11, 2013, 1:51 PM EST) -- A Florida federal judge on Tuesday refused to dismiss a $120 million lawsuit filed against the federal government by investors who lost money in an alleged Ponzi scheme that victimized federal employees, saying discovery was needed to determine the court’s jurisdiction.

The suit was filed by a group of 93 investors who say they were swindled by Kenneth Wayne McLeod — hired by the federal government in 1988 to make presentations at financial planning seminars. The investors accuse the government of negligence and breaching its fiduciary duty...
To view the full article, register now.