⚫ NJ man accused of $5M Ponzi scheme

⚫ Prosecutors say at least 30 victims scammed

⚫ Belmar man’s ex-best friend among investors

A 66-year-old Belmar man has been accused of cheating at least 30 investors out of more than five million dollars in a decades-long Ponzi scheme.

Vincent Dispoto was arrested and charged with one count of wire fraud. He was expected to appear Friday afternoon in Newark federal court.

Dispoto owned and operated Giddeon Financial Services, a purported investment services firm, and Liberty Mortgage Services, an alleged mortgage company, according to U.S. Attorney Philip Sellinger.

Newark federal Court
General view of Newark federal Court, 2013 (Michael Loccisano/Getty Images)

Among victims was Dispoto’s longtime best friend, according to federal court papers filed in the case, while many of his other victims were elderly.

Dispoto promised to invest their money in low-risk investment products with “guaranteed rates of return,” prosecutors said.

He even sent victims phony financial statements that showed fake significant increases in the value of their investments.

SEE ALSO: NJ towns with decreasing median household income 

Evgen_Prozhyrko GettyImages
Evgen_Prozhyrko GettyImages

When asked to provide actual funds, Dispoto lied and gave such fake excuses as:

⚫ An alleged ransomware attack that left Giddeon Financial incapable of disbursing funds

⚫ Bankruptcy of a mortgage loan originator holding more than $10 million in Liberty Mortgage notes

The stories were made up, federal prosecutors said, as Dispoto had not invested victims’ money as promised.

Instead, he spent it to make “Ponzi-like payments to other victims,” as well as on gambling debts and other personal expenses.

If convicted of wire fraud, Dispoto could face a maximum penalty of 20 years in prison and a $250,000 fine, or twice the gross amount of gain or loss from the offense, whichever is greatest.

Report a correction 👈 | 👉 Contact our newsroom

NJ towns with the biggest increases in wealth

Top 20 municipalities in New Jersey where the median household income has grown the most in a decade. The data is based on U.S. Census' American Community Survey 5-Year Estimates for the years 2012 and 2022.

Gallery Credit: New Jersey 101.5

30 neighborhoods in NJ where richest families live

These ZIP codes in New Jersey have the highest percentage of households earning more than $200,000 in annual income, meaning these are the neighborhoods were the wealthiest families are most likely to live. The figures are based on 5-year data by the U.S. Census American Community Survey as of 2021.

Gallery Credit: New Jersey 101.5

Must-visit NJ restaurants with James Beard nominated chefs

New Jersey chefs and restaurants have continued to make the shortlist for James Beard Award semifinals for over a decade. Here are those must-try eateries open as of 2024.

Gallery Credit: Erin Vogt

More From 92.7 WOBM