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An 81-Year-Old Florida CEO Just Indicted for a $250 Million Ponzi Scheme Ran a Sprawling Senior Citizen Crime Ring Carl Ruderman is the fifth senior citizen in the Miami-Fort-Lauderdale-Palm Beach metropolitan area to face charges in connection with the scam.

By Amanda Breen

Key Takeaways

  • Ruderman was the CEO at short-term business loan company 1 Global Capital.
  • 1 Global Capital allegedly paid large commissions to unregistered brokers and otherwise misappropriated funds.

It looks like 81-year-old Carl Ruderman, the former CEO of short-term business loan company 1 Global Capital, might be saying goodbye to a luxurious retirement.

Ruderman has been indicted on charges of wire fraud, conspiracy to commit wire and mail fraud, and conspiracy to commit securities fraud — making him the fifth senior citizen in the Miami-Fort-Lauderdale-Palm Beach metropolitan area to face the consequences of a $250 million 1 Global Capital fraud scheme, The Miami Herald reported.

Related: Frank Founder Charlie Javice Pleads Not Guilty in Fraud Case

Hallandale Beach-based 1 Global Capital would make short-term, high-interest loans to small businesses while, unbeknownst to investors, the company paid large commissions to brokers (including unregistered ones) and otherwise misappropriated funds, per the outlet.

Prosecutors allege Ruderman used investors' cash to finance travel, insurance payments for his art collection, drivers, housekeepers, mortgage payments and a luxury car for his wife, Miami New Times reported.

Other key players in the scam, which spanned dozens of states and racked up a $50 million cash deficit, include 65-year-old Alan Heide, 1 Global Capital's former CFO; 78-year-old Steven Schwartz, the company's former chief operating officer; 81-year-old attorney Andrew Ledbetter; and 78-year-old attorney Jan Atlas.

Related: California Real Estate Scammer Stole Nearly $12 Million

Those involved in the sprawling senior citizen crime ring received sentences ranging from eight months to five years in prison and were ordered to pay restitution between $29 million and $148 million, and the two attorneys agreed to disciplinary revocation from the Florida Bar, per The Miami Herald.

Amanda Breen

Entrepreneur Staff

Senior Features Writer

Amanda Breen is a senior features writer at Entrepreneur.com. She is a graduate of Barnard College and received an MFA in writing at Columbia University, where she was a news fellow for the School of the Arts.

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