A 32-year-old man from Scunthorpe, Declan Nowell, has been sentenced to eight years in prison for orchestrating a £9 million investment fraud scheme that deceived more than 600 victims, Humberside Police confirmed.
Nowell falsely claimed to be investing money in online foreign exchange markets but instead used the funds to purchase luxury cars and a house.
Police revealed that Nowell operated a classic Ponzi scheme throughout North Lincolnshire, using money from new investors to pay returns to earlier victims. Only a small portion of the money was actually invested, and even those investments resulted in losses.
At Hull Crown Court, Nowell was sentenced and also banned from holding any company director position for 10 years. He had admitted to two counts of fraud by abuse of position during a hearing in February.
Detective Constable Paul Twidale stated that the investigation began after several victims reported difficulties withdrawing money from accounts linked to Nowell’s company. Nowell claimed he had £28 million hidden in a “mystery pot” to repay investors, but police dismissed this assertion.
Humberside Police continue their efforts to recover the lost funds under the Proceeds of Crime Act 2002, aiming to return as much money as possible to those defrauded.
Originally published by UKNIP.
