A New York lawyer's failed suicide attempt -- after confessing to a $5 million Ponzi scheme in a handwritten suicide note -- has led to his arrest.
Charles A. Bennett, 56, was arrested on Dec. 12 by the Federal Bureau of Investigation at the Mount Sinai Roosevelt Hospital where he was recovering.
Bennett jumped into the Hudson River on Nov. 3 in a bid to commit suicide and elude prosecution for his fraudulent act. The lawyer left behind a 16-page suicide note "A Sad Ending to My Life" at a hotel. It detailed his Ponzi scheme activities and the investments he called "an illusion" since no trading was ever done.
Based on the court documents, the note also recalled how the lawyer "managed to completely squander the hard-earned money" that rightfully belonged to his friends and family.
Bennett waylaid his investors by telling them they were receiving fantastic returns and paid them some "dividends."
"I have systematically over the course of five years or so perpetrated a huge Ponzi scheme enveloping [sic] my family and closest friends," wrote Bennett in the suicide note. He added that "it was a Ponzi scheme pure and simple."
Unfortunately for Bennett, things did not go according to plan and he was rescued by an NYPD scuba diver. The note was recovered by the police. Investigation revealed that the lawyer was speaking the truth, and Bennett has now been charged with robbing 30 clients of nearly $5 million since 2008.
Bennett has also been sued by the U.S. Securities and Exchange Commission as he allegedly lured his clients with promises of returns between six to 25 percent. Moreover, the lawyer also misled investors with the claim that a New York state governor and his wife at the time were also his clients and investing in the scheme.
At the court hearing, the prosecution argued that Bennett should be imprisoned as he showed a "great risk -- some might say the ultimate risk -- to avoid prosecution."
However, Julia Gatoo, Bennett's lawyer, said that he was regretful and would not avoid facing the charges.
As a result, the Manhattan court judge has permitted Bennett to remain free until he is released from the hospital once his treatment is complete.
