Long Island Brothers Caught in $96 million Ponzi Scheme

Law Offices of Louis D. Stober, Jr., L.L.C.

350 Old Country Road, Suite 205, Garden City, NY 11530

877-791-8076 / StoberLaw.com 

Last week, two brother-in-laws, Brian Callahan and Adam Manson, were caught in a Ponzi scheme costing $96 million. The two men used their Montauk hotel bought in 2007, Panoramic View Resort & Residence, to lure investors to what they thought were hedge funds.

Between 2006 and 2012, Callahan and Manson had 40 investors raising $118 million. Officials told Newsday.com  the $96 million went towards luxury homes, cars and a golf club membership for both Callahan and Manson.

Real estate agents say the two men’s downfall was overpricing the houses and rooms while the real estate economy declined.

One of the investors was the Montauk Fire Department, which put $600,000 towards the Panoramic View. The fire department’s intentions were to use that money for scholarships. After suspicion, the department withdrew the investment luckily getting all their money back. If convicted, Callahan and Manson could face up to 20 years in prison.

For more information on the Panoramic View Ponzi scheme, CLICK HERE.

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