Minn. money manager pleads guilty in Ponzi scheme that defrauded at least 1,000 out of $190M

Minn. man pleads guilty in $190M Ponzi scheme

MINNEAPOLIS — A Minneapolis money manager has pleaded guilty to orchestrating a Ponzi scheme that defrauded at least 1,000 victims out of $190 million.

Thirty-seven-year-old Trevor Cook of Apple Valley pleaded guilty Tuesday in federal court to one count of mail fraud and one count of tax evasion.

As part of a plea agreement, Cook admitted that from July 2007 through July 2009, he told clients he’d invest their money in a foreign currency trading program with annual returns of 10 percent to 12 percent. Instead, prosecutors say, he used the money for personal expenses, including gambling debts, and to keep the scheme going.

Cook faces up to 20 years in prison on the mail fraud charge and five years on the tax evasion charge. A sentencing date has not been set.