Contact 6: Man accused of running Ponzi scheme for over 15 years
MILWAUKEE (WITI) -- Shawn Merriman is accused of running a Ponzi scheme for more than 15 years -- stealing over $20 million from his investors.
"He started taking money from investors - spending it on trips all over the world, including safaris, trips to Europe using it for his own personal gain," U.S. Postal Inspector Pamela Durkee said.
Over 70 friends, family members and members of Merriman's church invested money into the scheme over 15 years.
"He kept sending them statements to his clients advising them of their earnings and their statement said they were earning in the range he represented 7-10% so no one was really the wiser as to what was really going on," Durkee said.
Tim Gilmartin was one of those investors. He heard about Merriman through a classic car restoration club. Gilmartin and his wife invested more than $50,000 with Merriman and were stunned to hear it was all gone.
"I was in shock. I was numb. We heard he never invested a penny," Gilmartin said.
Merriman pleaded guilty and was sentenced to 12 years in prison. Postal inspectors seized more than $5 million in personal property from his home and will return a percentage to investors.
Officials say in order to avoid falling victim to this type of scam, check monthly and yearly statements with the actual fund groups the advisor is buying to see if the statements are accurate.