CHARLOTTE (AP) — A Charlotte man has been ordered to pay a $2 million civil penalty for operating a Ponzi scheme.
The Charlotte Observer reported that the scheme involving Mitchell Brian Huffman bilked about 30 clients out of about $3 million.
Huffman pleaded guilty in 2011 to commodities fraud in the scheme that prosecutors say he operated between 2006 and 2011.
He was sentenced last year to five years in prison, followed by three years of supervised released.
Federal authorities accused Huffman of running a fraudulent operation involving exchange-traded commodity futures contracts.
Prosecutors said he falsely told his victims that he was generating annual rates of return of 100 percent to 150 percent.
Authorities said he spent the money on his classic car collection, personal travel and charitable contributions.