The British Lending Program (BLP) operated as a Ponzi scheme and served as a fee-generating machine for the benefit of co-conspirators. Sigillito and Brown marketed the BLP to lenders based upon a number of false, fraudulent and deceptive material representations.
Rather than sending the funds to England for use in real estate projects as promised to investors, Sigillito pooled lender's funds in his attorney trust account in the United States. Rarely would funds from this account ever be sent to [their agent in England]. Rather, the funds were used to pay fees to Sigillito and Brown for initiating the loans. In cases where lenders requested payments of interest on their loan or sought to withdraw their funds from the program, the funds used to pay them came not from any profitable business....but instead from funds that had been contributed.
Support Local Journalism.
Join the Riverfront Times Press Club
Local journalism is information. Information is power. And we believe everyone deserves access to accurate independent coverage of their community and state. Our readers helped us continue this coverage in 2020, and we are so grateful for the support.
Help us keep this coverage going in 2021. Whether it's a one-time acknowledgement of this article or an ongoing membership pledge, your support goes to local-based reporting from our small but mighty team.
Join the Riverfront Times Club for as little as $5 a month.