(TOLEDO) - A third defendant has pleaded guilty in a decade-long Ponzi scheme investigation in Ohio.
James Delverne, a former managing member of Toledo-based investment firm Northwest Capital, admitted to defrauding investors of millions of dollars between 2011 and 2021, according to the Ohio Attorney General's Office.
Delverne faces multiple felony charges, including bank fraud, money laundering, engaging in a pattern of corrupt activity, telecommunications fraud, theft, business scheme violations, and securities fraud.
Investigators say Delverne and other defendants submitted false investment values and fake invoices to obtain seven million dollars from three lending institutions. In a separate scheme, prosecutors say Delverne took another three-point-five million dollars from investors by failing to disclose the true value of companies he controlled.
Delverne agreed to cooperate with ongoing investigations and will testify against co-defendants before sentencing.
Ohio Attorney General Dave Yost says the investigation remains active as authorities work to recover losses for defrauded investors.
Delverne is the third former Northwest Capital employee to plead guilty, following Doug Miller and Richard Scheich.