Southern California man gets prison for Ponzi scheme
LOS ANGELES (AP) — The former chief executive of a Southern California financial services company was sentenced to 33 months in federal prison for helping run a Ponzi scheme that cost investors more than $2.3 million, the Los Angeles U.S. Attorney’s Office said.
Scott Allensworth, 68, of Santa Clarita was also ordered Thursday pay more than $2.3 million in restitution.
Allensworth, owner and CEO of Capital Growth Group Associates, pleaded guilty to one count of wire fraud in July 2021.
Prosecutors say the scheme ran from 2015 to 2017 and involved a Kentucky man who pleaded guilty to wire fraud last year and is serving a 41-month prison sentence.