A Lebanese national has been handed a hefty 14-year sentence by a U.S. district court for masterminding a multi-million-dollar Ponzi scheme. The individual, Henry Abdo, age 48, managed to swindle over $6 million from people hoping to see returns on their investments in what they were led to believe was an exchange platform. According to the U.S. Attorney's Office for the Southern District of Florida, Abdo was also ordered to cough up a $300,000 fine alongside paying $375,479 in restitution to his victims.
Abdo pled guilty after being charged with running Titanium Capital LLC, a company he claimed had a zero-risk policy and guaranteed fixed returns from foreign currency transactions. The truth, however, was far from these claims. Not only did Titanium Capital lack the infrastructure it claimed to have, but it wasn't even registered with the Securities and Exchange Commission, despite Abdo's assertions. His increasingly elaborate web of lies also included tales of proprietary software and false ties to a multibillion-dollar holding company.
His tactics to rope in investors varied from in-person meetings to video calls. The websites and promotional materials he directed potential investors to were dressed to impress, painting a picture of legitimacy that the Southern District of Florida, per their announcement, asserted was far removed from reality. As with any Ponzi scheme, the newer investor funds were used to pay previous investors, while also financing Abdo's own lifestyle filled with international excursions among other expenses.
Adding to the deceit, Abdo touted his false connections with charitable and educational organizations, claiming profits from Titanium Capital went to aid the blind and handicapped. This ruse didn't last indefinitely, unraveling when the promised returns failed to materialize, leaving over 200 investors in financial peril. As reported by the U.S. Attorney's Office, several victims experienced the loss of retirement accounts and savings originally earmarked for essential living costs.
The Palm Beach Resident Agency of the FBI took charge of the investigation that culminated in Abdo's lengthy sentence. The prosecution was carried out by Assistant U.S. Attorneys Jonathan Bailyn and Justin Chapman. Court documents pertaining to the case can be accessed through the Southern District of Florida's court website or the PACER service, under case number 23-cr-80209.
