WASHINGTON (AP) — A Maryland man has been indicted in an alleged Ponzi scheme that prosecutors say cost investors $25 million.
Garfield M. Taylor, 54, of Rockville pleaded not guilty to the charges Thursday in the U.S. District Court for the District of Columbia.
The seven-count indictment was returned Feb. 21. It includes charges of wire fraud and securities fraud.
According to the indictment, Taylor promised investors substantial returns by using a sophisticated securities trading strategy that protected against loss.
Prosecutors say Taylor either lost money or made minimal profits on investments. Authorities say he used portions of the principal invested by new investors to pay what was owed to earlier investors.
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