2 people have been charged in $7.8M Ponzi scheme that operated out of Kelowna, Edmonton

Two people are facing over 80 charges in connection to a large-scale alleged Ponzi scheme.

On Wednesday, the Edmonton Police Service said Curtis Gordon Quigley and Kathleen Treadgold, both 56, turned themselves in.

The pair operated out of Kelowna and Edmonton and had victims in Alberta, BC and as far as Nevada and Australia.

A release from the Edmonton Police Service says the two were allegedly offering investors a guaranteed return on their investment, which was often presented as a “real estate flip.”

The scheme was allegedly run under the company name Group Venture Inc., and is believed to have been ongoing between October 2008 and December 2020, the release says.

The two suspects are now jointly charged with fraud over $5,000 and one count of laundering proceeds of crime.

“Ponzi schemes work on the premise of providing initial financial gain, so most victims believe the investment to be profitable and then invest additional principle,” says Det. Linda Herczeg.

“In most Ponzi schemes, some initial investors will receive a full return on their investments, and the fraudster then uses those individuals as references to convince the more skeptical investors to buy in.”

Investigators say the scheme was worth $7.8 million.

They also believe there may be other victims who have yet to come forward and are encouraging victims to contact the police.

Investors are reminded that legitimate investment opportunities should always provide some form of verification. In this case it would be a real estate listing and land title.

People are reminded to confirm that a company is legal by checking the Better Business Bureau or doing a corporate or Google search of the company.