Police bust alleged Ponzi scheme

Toronto police have charged two people in connection with an alleged $3.5-million Ponzi scheme that was targeting the city’s Filipino community.

Police have announced that Glenda Esteves, 45, and Teddy Lee Esteves, 44, have been arrested and charged with fraud, forgery and money laundering.

The allegations have not been proven. Ms.

Esteves was scheduled to appear in court on Aug. 13, while Mr. Esteves is to appear on Oct. 22.

The arrests follow a year-long investigation by Toronto’s financial crimes unit, dubbed Project Cosmo. The investigation was focused on several companies — B + E Investments, Infy Trading Inc. and Mac Glamour Ltd. — that allegedly recruited investors with promises of large payouts.

In fact, police said, “the victims were deceived and their money was never used for any investment.” As a result, investors lost more than $3.5 million, police said.

They believe that there are more victims and other companies involved in the scheme.

James Langton

James is a senior reporter for Advisor.ca and its sister publication, Investment Executive. He has been reporting on regulation, securities law, industry news and more since 1994.