Ponzi scheme

/ ˈpɒnzɪ /

noun

1. a fraudulent investment operation that pays quick returns to initial contributors using money from subsequent contributors rather than profit

Word History and Origins

Origin of Ponzi scheme¹

After Charles Ponzi , who famously perpetrated such a scheme in the United States of America in the early 20th century

Example Sentences

When Suzanne Somers called Obamacare a socialized ponzi scheme, critics swiftly ripped apart her argument.

From The Daily Beast

De la Villehuchet's suicide adds yet another gruesome chapter to the Bernie Madoff Ponzi scheme.

From The Daily Beast