Minnesota man gets 35-year California sentence for scam

[Judi Lynn]

Source: Associated Press

Minnesota man gets 35-year California sentence for scam

Updated 9:20 pm, Tuesday, May 17, 2016

SANTA ANA, Calif. (AP) — A Minnesota man who ran a nationwide investment con has been sentenced to 35 years in a California prison. Gerard Cellette also was fined $42 million Tuesday and was ordered to repay $21 million to some 55 Orange County residents.

He pleaded guilty Monday to 455 state charges. Cellette ran a printing company from his home in Anoka County, Minnesota.

Prosecutors say he got investors by falsely claiming to have large corporate contracts, spending new investors' money to repay older ones.

His lavish lifestyle included fancy cars and homes with amenities such as a bowling alley and malt shop.

Read more: http://www.chron.com/news/crime/article/Minnesota-man-gets-35-year-California-sentence-7556037.php

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[center]

Gerard Cellette [/center]
The $200 million man: Ponzi schemes in the post-Madoff world

Jeff Pohlman | Valerie Patriarca
Wednesday, 11 Dec 2013 | 1:05 PM ET

Gerard Cellette spent money like it was going out of style in Andover, Minn. He owned homes worth $7.2 million, some decked out with bowling alleys and $100,000 video arcades. One barn-like structure had a 1950s-style diner, a screening room and go-cart track out back.

He also spent lavishly on gifts for friends and family members, racking up $1 million on his Visa card. He generously donated $4 million to the Living Word Christian Center in Brooklyn Park, Minn., owned 11 cars and spent $1.1 million on jets and vacations. He shelled out $300,000 on sports tickets, sitting in a luxury box at Minnesota Vikings football games.

To put it mildly, Cellette, 49, lived a dream life. But just like Bernie Madoff—the king of all Ponzi schemes—Cellette paid for all the toys, travel and fun with money he stole from unwitting investors, according to prosecutors. And just like Madoff, who was arrested five years ago Wednesday, Cellette is behind bars.

Cellette, who graduated from high school but never attended college, ran a nearly $200 million Ponzi scheme out of his home office, according to prosecutors.

More:
http://www.cnbc.com/2013/12/11/

[MrScorpio]

1. Ponzi schemes always fail...

It's only a matter of when.

[Eric J in MN]

2. He deserves punishment but not 35 years. NT

NT

[LuckyLib]

4. His victims will be facing life changes - he

Sentenced them to hassles, legal fees, and continuing problems down the road.

[maxsolomon]

9. He won't serve 35

maybe 15. out before he's 65.

[Enthusiast]

3. When will they get to the big thieves, the ones on Wall Street?

[Nye Bevan]

5. You don't think $200 million is "big"? (nt)

[AntiBank]

7. It's piss in the ocean compared to the 29 trillion usd plus shuffled and pulled off the table

in the Great Bankster robbery of 2008-9. (still going on btw and will continue to do so till you start locking up scum like Dimon, Paulson, Blankfein, DICK Fuld, etc for life instead of creating ghost mirage shite "regulations" like Dodd-Frank etc. and promoting them up the food chain in PUBLIC capacities.)

Bring back Glass-Steagall NOW. Refuse at your own peril. Hillary is dead set against that crucial Act, that by its very absence (via its removal under Bill Clinton) was foundationally instrumental in causing the implosion in the first place.



The Size of the Bank Bailout: $29 Trillion
http://www.cnbc.com/id/45674390

News You Might Have Missed: Hillary Clinton Opposes Reinstating Glass-Steagall Act
http://www.truth-out.org/buzzflash/commentary/news-you-might-have-missed-hillary-clinton-opposed-to-reinstating-glass-steagall-act


Hillary Clinton Is Whitewashing the Financial Catastrophe
http://www.thenation.com/article/hillary-clinton-is-whitewashing-the-financial-catastrophe/

[maxsolomon]

10. obviously, "they" are not going to get to it

"they" have concluded that there is not enough clear, simple evidence to get convictions. "they" have extracted fines rather than instigate prosecutions.

sorry, this is the way it works in America, and pretty much always has. idiots like this one are easy to nail. investment banks have armies of lawyers at their disposal; the FTC &/or justice dept. must not.

[Nye Bevan]

6. Why do idiots keep falling for these con-men?

Look, I know the interest rate on CD's isn't the greatest right now, but don't people know the "if it sounds too good to be true it probably is" adage?

[ToxMarz]

8. But he was a Christian and gave money to the Christian Center

Which is quite spectacular by way, looks like the Fox studio. Wonder if they'll be returning their ill gotten gains.