New Jersey Man Pleads Guilty In Phony Defense Contract Ponzi Scheme

In Camden, New Jersey on Monday, Glyn Richards of Haddon Heights pleaded guilty before US District Judge Renée Marie Bumb to a two-count information charging him with mail fraud and money laundering in connection with the operation of a Ponzi scheme. Richards operated a company called Air Freight Logistics. He allegedly solicited investors by telling them his company had Defense Department contracts to ship military equipment overseas and needed funds to pay up-front costs, typically promising 44% return on a 120-day $25,000 investment. However, his business never had any such contracts and he was simply operating a typical Ponzi scheme. The overall loss amount has not been determined but he is said to have taken in over $10 million from more than 100 investors. Sentencing is scheduled for October 14 (Philadelphia Inquirer, DOJ).