Four brokers have been arrested in connection to the Hauppauge-based Agape World Ponzi scheme.
Long Island Business News [subscription required] reported the FBI arrested four brokers who allegedly worked under Nicholas Cosmo, former head of Hauppauge-based Agape World that was used as a front to take more than $400 million from its investors.
Those arrested are Jason Keryc, 34; Anthony Ciccone, 39; Anthony Massaro, 40; and Diane Kaylor, 36; according to LIBN's report.
Agape World sought investors - primarily blue collar workers - to fund short-term loans to help companies get temporary financing with promise of huge returns. In actuality, Agape World was a classic Ponzi scheme in which brokers made money by selling investments to family and friends, many of whom lost live savings and fortunes.
LIBN reports Keryc, as Agape's most prolific salesmen, paid subbrokers nearly $10 million of the $16 million commission he received. He has surrendered his Long Beach condo, a $2.7 Montauk house and more.
Keryc and the other three will be arraigned Wednesday in Central Islip Courts.
Cosmo, the former head of Agape World, was for his "mini-Madoff" scheme. He will be eligible to receive counseling for his alleged gambling problem while in prison.