Kentucky residents among victims of $500,000 investment scam over drug treatment centers
A Nevada man has been convicted of bilking more than $250,000 from investors in Kentucky through a phony investment scheme involving drug treatment centers.
A jury in federal court convicted Robert J. Bondonno, 66, of the Las Vegas area, on five counts of wire fraud, one count of mail fraud, one count of conspiracy to launder money and 27 counts of promoting money laundering, according to a release from Michael A. Bennett, U.S. Attorney for the Western District of Kentucky in Louisville.
Bondonno and others involved in the scheme solicited investments in drug and alcohol treatment centers in Kansas and Arizona, but lied to people about the potential return and what the money would be used for, according to the release.
The scheme brought in $519,000 from people in Kentucky, Maryland and California. The indictment said four people in Kentucky paid in $269,800 of that.
One of the victims was 95 years old, according to Bennett.
Bondonno and co-conspirators took all the money. None went to support the treatment centers and investors didn’t get back anything.
The others charged were Courtland Van Oden; Gregory W. Dawkins, also known as Gregory Alexander; and Bearkes J. Ainsworth Jr., also known as Peter Sinclair and John Tang.
All three pleaded guilty but have not been sentenced, court records show.
Bondonno is scheduled to be sentenced in June. He faces up to 680 years in prison, but his sentence will be far less under federal guidelines.
The Internal Revenue Service, the U.S. Postal Inspection Service and the Louisville Metro Police Department investigated the case.
It was prosecuted under an initiative to combat abuse, neglect, financial fraud and scams that target older people.
The National Council On Aging says senior citizens lose billions each year in financial scams. The organization has tips on avoiding fraud.
