New York diamond dealer Larry Kar of Worldwide Gem Ventures was indicted recently for bilking investors of nearly $34 million in what authorities called a “Ponzi scheme.” (A Ponzi scheme is an investment swindle in which early investors are paid with money put in by later investors.)
He has been charged with 12 counts of mail fraud and faces up to 70 years in prison as well as fines in the millions.
Prosecutors say Kar got investors to lend him money and diamonds by using falsified documents and statements from a Thai bank. He later attempted suicide as his scheme fell apart.
Kar’s lawyer, George Meisner, did not return calls from JCK.