Call Now For a Free Consultation:
(614) 532-4576
Nationwide Representation

Man Pleads Guilty in Iraq Rebuilding Ponzi Scheme

Ahmed Alabadi, of Dearborn, has pleaded guilty in a Ponzi scheme case that allegedly took in more than $2 million from investors. Alabadi is expected to pay restitution of $2.3 million to his investors and faces a potential prison sentence of 63 months. He is scheduled to be sentenced on October 4, 2012.

According to court prosecutors, Alabadi enticed investors to put their money into his Fedek Group, Inc. company with promises of high returns. Investors believed the money would go into contracts with the United Nations, rebuilding in Iraq, and other international efforts. Alabadi, who is a dual citizen of the United States and Iraq, allegedly told investors that they could make returns of 100% over the course of a year. Unfortunately, it is believed that Alabadi instead used investors’ cash to pay off prior investors in order to keep up the appearance of legitimacy.

Special Agent in Charge Brian Moskowitz, with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, stated that “The victims of this scheme were under the impression they were making legitimate investments around the world but were in fact being swindled out of large sums of money”.

The information contained in The Firm’s posts on its blog, fraud alerts, investigations or elsewhere on the site is based upon information obtained from other sources including, but not limited to, news outlets and federal, state, and regulatory agency filings. All suspects and subjects of postings herein are presumed innocent until proven guilty in a court of law or administrative action and any and all crimes are alleged until a court or regulatory agency finds otherwise .

Share This Story
If you found the information provided by this article useful, consider sharing to your social media channels to help others in their search for reliable resources.
Consult with Our Legal Team
There is never a cost associated with a consultation
Atlanta Office

945 East Paces Ferry Road, Suite 2275
Atlanta, GA 30326
Columbus Office

614-224-6000
305 W. Nationwide Blvd
Columbus, OH 43215
Meyer Wilson
New Orleans Office

900 Camp Street 
Suite 337
New Orleans, LA 70130
Los Angeles Office

310-905-8688
2029 Century Park East,
Suite 400N
Los Angeles, CA 90067
Cleveland Office

216-600-1355
4781 Richmond Rd.
Suite 400
Warrensville Heights, OH 44128
Bloomfield Hills Office

248-817-8214
41000 Woodward Ave.,
Suite 350
Bloomfield Hills, MI 48304
Quick Links
The information contained in this Website is provided for informational purposes only, and should not be construed as legal advice on any subject matter. No recipients of content from this site, clients or otherwise, should act or refrain from acting on the basis of any content included in the site without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from an attorney licensed in the recipient's state. Read More
The information contained in this Website is provided for informational purposes only, and should not be construed as legal advice on any subject matter.
Read More
chevron-down linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram