Ponzi scheme results in 3-year sentence

Jeremy Arrington, 44, of Middleton was sentenced to three years in prison after being convicted of wire fraud in a $2.4 million investment scheme, according to a Wisconsin State Journal report. Arrington ran a scheme that involved more than 20 victims and promised investors returns ranging from 12% to 35% with little or no risk. Arrington pleaded guilty to one count of wire fraud in the scheme, which authorities say resulted in several investors losing their retirement savings. According to the complaint, Arrington was the chief financial officer for Wisconsin Home Buyers Network, a real estate business that used investor funds for payments to existing investors, payroll for related businesses, debt reduction, personal draws by the partners, back taxes, and legal fees.