N.J. Man Pleads Guilty In $41.2 Million Ponzi Scheme

July 09—Everett C. Miller, 43, a high school dropout turned financial adviser who convinced 190 investors to part with $41.2 million in a Ponzi scheme, pleaded guilty to securities fraud in federal court in Camden Tuesday.

At a time when financial markets were collapsing, Miller, of Marlton, convinced investors to part with their cash in return for unsecured and unregistered promissory notes, promising 7 to 20 percent returns, payable, along with the original investments in nine months.

The investors were generally elderly people in New Jersey, Pennsylvania, Arkansas, Texas and North Carolina, who made their purchases through their insurance brokers, according to a report in a related case. The fraud took place between June 2006 and December 2010.

Some clients of Miller's company got money back, but much of it went to failed investments and to operating the company, Carr Capital L.L.C. in Marlton. Miller used some of the money — at least $576,000 according to court documents — to pay for a luxury box for New Jersey Devils hockey games, Philadelphia Phillies baseball games and the Heisman Trophy Dinner.

His company also owned a BMW M5, a Hummer, a Chevy Traverse, a Lincoln limousine and a Kia Sportage.

Miller also pleaded to tax evasion.

U.S. District Judge Renee Marie Bumb set sentencing for Oct 18. He faces up to 25 years in prison and more than $5 million in fines.

The judge forbade Miller to drink alcohol, set a 9 p.m. curfew for Miller, required him to wear an electronic bracelet and ordered him to remain in New Jersey.

Contact Jane Von Bergen at jvonbergen@phillynews.com, @JaneVonBergen on Twitter, or at 215-854-2769. Read her workplace blog at www.philly.com/jobbing

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