That’s Zogaib on the right. The fellow on the left actually has a judgment against Zogaib at this point for defrauding him of about half a mil; we are happy to protect his identity.
Your latest alleged Ponzi schemer: Henri Zogaib, a race-car driver turned iron-ore salesman:
A professional race car driver is the prime suspect in a shady investment scheme and investigators say he had dozens of victims, including some involved in NASCAR.
Investigators believe the man bilked people out of millions. The tally is up to $5.4 million and investigators expect that number to grow.
On Wednesday, investigators pulled computers and files out of an Ormond Beach home. They’re looking for more business information, more transactions and more evidence of what they’re calling a huge Ponzi scheme.
The main person of interest is Henri Zogaib. He’s a 36-year-old Grand Am Series race car driver. Investigators say he used his position in the racing community to convince people to invest with him in an iron ore company.
The Florida Department of Law Enforcement said multiple people in NASCAR, including a driver and dozens of people at all levels of the company, took him up on the offer. The only problem is, FDLE says, there was no company.
Investigators say Zogaib was using the money to live lavishly; he was paying off charges on his American Express card of nearly $400,000.
They believe he had the help of a partner named Paul Bellanca, a father of two in Ormond Beach. Neighbors said he is a man with a lot of connections to car and motorcycle racing. Investigators searched Bellanca’s home for evidence Wednesday.
Eyewitness News found records that went back to 2004 on the investment company they set up and eventually, FDLE said, people realized it was a bad investment.
“When some of them started saying, ‘We want to get some of our money back, we’re happy with where we’ve reached,’ there was no money. There was no way for them to do it,” said Wayne Ivy, FDLE.
Investigators served another search warrant at a beachfront condo in Ponce Inlet on Wednesday. They said police departments in Daytona Beach, Daytona Beach Shores and Ormond Beach have all been involved and they expect the number of victims in the case to grow substantially now that the news is out.
No arrests yet. Fingers crossed for a car chase.
You won’t find much about Zogaib on the Google at this point… but you will find a random warning about him on the BusinessWeek forums, posted over a month ago – this was dated June 10th:
Has Henri Zogaib asked you to invest in Wind Energy or Iron Ore? Beware of him he owes millions on investments made with him….
So you’re gonna trust a guy who drives around in circles in a car that probably gets 2 MPG to advise you on wind energy investments. Sounds like a can’t-lose proposition to me…
Updated February 13, 2010: No love for Henri Zogaib this Valentine’s day weekend, as he’s been arrested. Henri Zogaib, 36, of Longwood, Florida, was charged with one count of organized fraud after a two-year investigation by the Florida Department of Law Enforcement, the Volusia County Sheriff’s Office and the Daytona Beach Police Department.
Not sure that will get any of the victims their money back, but it’s good to see him closer to being brought to justice.
100PercentProle // Jul 23, 2009 at 11:32 am
Thank you Les Claypool!
kathy henderson/joseph henderson // Dec 30, 2009 at 12:09 am
He is a liar and a crook! He stole from my soon to be ex-husband and now they are so called friends! He could not wait to break up our family and he has succeeded in that. He has enticed my husband with flash and young woman and a free life! All the while my husband has filed for divorce and abandoned his son of 9 yrs. old. My husband has lost everything and is currently dating an idiotic 23 yr. old and he is 43 yrs. of age. My husband has lost life long family and friends because of henri zogaib! he is such a manipulative and scary individual that he ruins lives. it is high time that he be arrested and put in his place for crucifying others! he is no different than bernie maddoff! please do something….. he owes my husband 1.5 million.
Broke and Outraged // Feb 15, 2010 at 9:18 pm
Henri is finally arrested! My husband, his brother and several of our family members also invested in what we thought was a solid legitimate business almost 2 years ago (through Henri). Since then, we have lost our home and are struggling to make ends meet because about 6 months after we initially invested with Henri the crook, my husband lost his job. We are not rich race car drivers, just hard working Middle class Americans who were trying to invest in our future (and our children’s future.) I know we will never see that money again but we have learned a valuable lesson…if it sounds too good to be true….you know the rest.
Justice Delayed // Jul 22, 2010 at 5:24 pm
Zogaib was arrested this morning in Orlando. He was charged with 1 count of Aggravated White Collar Crime, and 25 counts of Grand Theft. The bond was set at $2,285,000.00; he was booked into the Orange County Branch Jail.