March 14, 2014
Gregory Loles, once a trusted investment advisor who also owned several high-performance Porsche racing operations, now serves 25 years for an embezzlement scheme where he stole nearly $27 million dollars.
According to the FBI, Loles was engaged in a Ponzi scheme similar but smaller than the one operated by Bernie Madoff. He convinced his victims to invest in “low risk” bonds which, in reality, did not exist. His victims were largely comprised of vulnerable friends, elderly individuals, fixed income clients, and even churches. St. Barbara Greek Orthodox Church was one victim which fell to Loles’ scheme. The church was promised an eight percent return but instead lost $2.1 million to his fictitious bond plot. Another victim lost $157,000 from her husband and self, and another $90,000 saved for her daughter’s wedding.