The U.S. Postal Inspectors say many of the victims lost their entire life savings.
"It impacted me psychologically, mentally, physically and emotionally," said one victim who did not want to show his face. He lost more than $1 million in the scam. "Because I was 60, I wanted to be invested in low risk products, but at the same time that would generate a return on investment."
This immigrant from England says he and his wife did not know a lot about investing. But they felt they could trust a company called Carr Miller Capital. They met the company president, Everett Miller, at a party.
"I thought he was successful person, maybe very knowledgeable in business. I was impressed with the number of people that were there."
But appearances can be deceiving. Postal Inspectors say Miller was running an elaborate multi-million dollar ponzi scheme -- promising victims seven to 15 percent return on their investments and their principal back in 9 months.
"This type of investment security was exceptional to say the least, and far exceeded any type of investment vehicle then and now. With those terms, he was easily able to attract approximately 200 investors and he took in $42 million dollars," said Daniel Forrester, U.S. Postal Inspector.
Postal Inspectors say before you invest, do some research and ask questions. "Not to go solely on the word of the person making the representation to you. They should take the time to actually verify that it does exist," said Forrester.
Everett Miller pleaded guilty to securities fraud and attempting to evade taxes and was sentenced to 10 years in jail.
Safe from Scams: 200 victims, $42 million, 1 Ponzi scheme
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