'A latticework of lies': Fraudster jailed after elaborate £1.2 million 'Ponzi scheme'
A fraudster who conned more than £1.2 million from investors, friends and family in an elaborate 'Ponzi scheme' that he started while living in a large converted barn near Shrewsbury, has been jailed for six years.
Christopher Michael Vaughan, 42, had been living in Peyton when he began defrauding people "to fund his elaborate lifestyle" Worcester Crown Court heard on Friday.
Vaughan had even conned a local Telford taxi into investing with him on the promises of "rich and unrealistic profits".
Prosecution barrister Grace Ong, told the court that Vaughan began his fraud in 2012, when he claimed to be a successful foreign exchange (Forex) trader.
She said: "He gave the appearance of a successful Forex trader, appearing to be very wealthy, living in large converted barn, driving an expensive vehicle - but in colloquial terms, it was a well known scheme called a Ponzi scheme."
A Ponzi scheme is a fraudulent investing scam which generates returns for earlier investors with money taken from later investors.
Ms Ong added: "He would use money from others to fund his elaborate lifestyle. And when creditors, metaphorically or in person, came knocking on door, he would borrow more money from friends and acquaintances, and did so without empathy to their circumstances."
