Antiques Dealer Pleads Guilty In $3 Million Pyramid Scheme

Patricia Jacoby of Raleigh, North Carolina on Wednesday pleaded guilty in US District Court to a single count of wire fraud in connection with a pyramid scheme that cost investors an estimated $3 million. Jacoby owned a Raleigh shop called POSH! Fine Arts and Antiques; she allegedly lured investors with the promise of a 22% return in 30 days; the funds were said to finance the purchase of estate lots of antiques to be sold to waiting buyers. The scheme collapsed when investors wanted their money back. A sentencing date has not been announced. According to news reports here and here, Jacoby has been convicted twice before on similar charges, was still on probation from a 2006 conviction, and used some of the money from this scheme to pay restitution from the 2006 case.