We use cookies on this site to enable your digital experience. By continuing to use this site, you are agreeing to our cookie policy. close

African Drug Importer Accused Of $1.2B Ponzi Scheme

Law360 (June 11, 2009, 12:00 AM EDT) -- Authorities in South Africa are investigating allegations that a pharmaceutical ingredient import business was a Ponzi scheme that defrauded investors around the world of up to $1.2 billion.

South Africa's The Mercury newspaper reported that investigators believe Barry Tannenbaum, a South African businessman living in Australia, promised investors up to 200 percent returns linked to pharmaceutical imports, but was actually paying early investors with funds from new clients.

A private security firm hired by investors to investigate the scheme has estimated that 200 investors in the...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.