Published: Tuesday, Nov. 10, 2009 / Updated: Tuesday, Nov. 10, 2009 12:20 PM
Prosecutors: SC trio promised unrealistic returns
COLUMBIA, S.C. --
Federal prosecutors say three South Carolina men promised thousands of clients big returns on their investments, but instead spent millions of dollars on luxury items for themselves.
Assistant U.S. Attorney Winston Holliday said in opening statements in Columbia on Tuesday that Joseph Brunson, Tony Pugh and Timothy McQueen had no financial training. Holliday says the men who called themselves the "3 Hebrew Boys" lured investors suffering from debts into giving them their money by promising unrealistic returns.
The men are accused of scamming investors out of more than $80 million and face fraud and money laundering charges.
Defense attorneys say their clients used the money to buy investment properties and paid more than $30 million back to their clients.
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