USD 30M Ponzi scheme targeted Muslims: Prosecutors

Federal prosecutors say a taxi driver turned prominent businessman in Chicago`s South Asian community is among 3 people indicted for defrauding hundreds of Muslims out of USD 30 million.

Last Updated: Nov 18, 2010, 22:02 PM IST

Chicago: Federal prosecutors say a taxi
driver turned prominent businessman in Chicago`s South Asian
community is among 3 people indicted for defrauding
hundreds of Muslims out of USD 30 million.

The US Attorney`s Office in Chicago said yesterday that
victims of the nationwide Ponzi scheme were lured in part by
promises that investments complied with Islamic law.

Prosecutors say the ringleader, 37-year-old Salman
Ibrahim, vanished in 2008 after persuading hundreds of
Pakistani and Indian immigrants to turn over their savings and
mortgage their homes. The FBI believes he may be in his native
Pakistan.

The indictment says his Chicago-based Sunrise Equities
told investors they wouldn`t be paid interest, as prohibited
under Islamic law, but would share profits from real estate
projects.

PTI