Miami Firm Owner Pleads Guilty to $6M Ponzi Scheme Fraud

Henry Abdo, 47, a Lebanese national and Miami-based entrepreneur, pled guilty in federal court to running a $6 million Ponzi scam through his firm, Titanium Capital LLC (“Titanium”). This fraudulent organization duped over 200 investors with promises of assured profits, only to leave them financially devastated.

Titanium Capital was falsely touted as a “zero-risk” investment vehicle that allegedly used foreign exchange platforms to provide fixed profits. To boost his credibility and gain investor faith, Abdo made big but fraudulent assertions. He claimed that Titanium was a multibillion-dollar firm with patented software, registered with the Securities and Exchange Commission (SEC), and affiliated with charity and educational groups. However, none of these assertions were real, and the entire organization was a masterfully constructed façade.

Abdo recruited investors via a variety of channels, including in-person meetings, emails, video conferencing, and promotional materials. These brochures conveyed a persuasive image of a respectable and growing firm. Behind the scenes, however, Abdo's operation followed the standard Ponzi strategy, diverting cash from new investors to repay previous ones. Meanwhile, he siphoned large quantities of money to fund his luxurious lifestyle, which included overseas travel and other luxury.

The consequences of this scam were disastrous. Victims, many of whom were pensioners or persons reliant on their assets for basic needs, experienced catastrophic financial losses. Some people reported losing their entire retirement funds, leaving them unable to cover basic costs like food and medicine. The emotional and financial cost to these individuals and their families cannot be emphasized.

The fraudulent plot began to crumble, and on January 13, 2025, Abdo appeared in federal court in Miami to plead guilty to wire fraud charges. This crime, under Title 18, United States Code, Section 1343, has a maximum prison term of 20 years. The actual punishment will be determined by the United States Sentencing Guidelines and other statutory criteria, which will be considered by US District Court Judge William P. Dimitrouleas.

The investigation, headed by the FBI Miami's Palm Beach Resident Agency, demonstrated the agency's dedication to identifying and prosecuting white-collar criminals. U.S. Attorney Markenzy Lapointe and FBI Special Agent in Charge Jeffrey B. Veltri have stressed the need to hold those like Abdo responsible for their crimes. Jonathan Bailyn and Justin Chapman, Assistant US Attorneys, prosecuted the case.

Final Thought

This story serves as a sharp warning of the risks of investment fraud and the need for thorough diligence. Before investing, always do an independent investigation to ensure the credibility of an offer and seek advice from trustworthy financial professionals. To protect your financial future, you must be vigilant and make educated decisions.