A Cincinnati man, Glen Galemmo, and his wife, Kristine, are accused of an elaborate Ponzi scheme. The number of victims continues to grow, and their combined loss could
be in the hundreds of millions.
According to court documents filed in Hamilton County, "Mr. Galemmo and his associates have organized an elaborate Ponzi Scheme in the guise of an investment fund, the demise of which is now believed to have cost investors tens, if not hundreds of millions of dollars."
The complaint names the Galemmo Investment Group, the Queen City Investment Fund and a number of other investment entities.
The complaint goes on to say, "Between the years 2006 through 2011, Mr. Galemmo claimed to have achieved a 432% return'" and "if Mr. Galemmo's claims had been accurate, he would have allegedly earned compensation in excess of $60 million."
Ben Dusing, Galemmo's attorney, says his client is cooperating fully, "We are still investigating the facts and we are hoping people will reserve judgment until frankly we can gather the facts."
Galemmo asked investors to stay away from his business in an email sent one week ago. He claimed "Queen City Investments will no longer be in operation." Galemmo went on to tell investors to direct any questions to an IRS Special Agent.
FOX19 reached that investigator by phone. She wouldn't comment and directed us to an IRS spokesperson in Columbus, who didn't return our call.
When she knocked at the West Chester address of Edward Blackledge, who is listed as an officer of Queen City Investments, the homeowners told her they have lived at the home for 12 years. They say they hadn't heard of Blackledge until this week when they received a certified letter from an attorney addressed to him.
Galemmo hasn't been easy to find
either. Gates at his East Walnut Hills Home are closed. Mail is
piled at his front door, and there is no response to knocks at his front
door. Another address provided to the court for Queen City
Investments doesn't exist.
investors aren't as difficult to find. FOX19 received emails from six of
them on Thursday all referring her to their attorney, Richard Wayne. One of
them lives as far away as Southern California.
One of those investors provided
an email received from a fellow investor, apologizing to dozens of others for
recommending they invest in Galemmo's fund.
It reads in part, "To those of
you that I brought into the fund, you have my deepest and most sincere apologies.
I am embarrassed and shamed by my actions. Like most of us, I ignored the poor
statements and lack of transparency in favor of the high returns."
The investor goes on to say he has learned he is Galemmo's
largest investor, and he fears he has lost all of his savings.
The plaintiff's attorney, Brian O'Connor hasn't returned our call.
If you believe you are a victim of this alleged Ponzi scheme, email email@example.com.
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