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$364M Ponzi-scheme financed 3 men luxury lifestyle including jewelry, high-end cars and $25M on casino gambling, feds say

Three men were indicted Wednesday for allegedly the victim of hundreds of people in the USA in a $364 million Ponzi scheme.

Three men were indicted Wednesday for allegedly the victim of hundreds of people in the USA in a $364 million Ponzi scheme.

Kevin Merrill, 53, of Maryland; Jay Ledford, 54, of Texas and Nevada; and Cameron Jezierski, 28, Texas, was charged by federal prosecutors for an alleged scheme that dates back to January 2013.

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According to the Prosecutor of the V. S. Office of the District of Maryland, Merrill and Ledford invited people to purchase consumer debt portfolios and falsely claimed that they would benefit from the debt payments.

The plaintiffs claim that the defendants falsely claimed the money that they paid to investors were “proceeds” of collections or sales, and that the money came from other investors. The men created fake companies and recorded in Texas, authorities said.

“Most of these investors are just learning that they have become a victim,” the Prosecutor of the V. S. Robert Hur said in a press release. “The consequences of this type of fraud can be devastating.”

The men hid their derivation of $73 million investors in funds to host a “lavish lifestyle” which included the purchase of multiple properties, jewelry, more than 20 high-end cars and a boat, the prosecutor asked.

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The trio also reportedly spent some $25 million to gamble in casinos.

Merrill, Ledford and Jezierski have been arrested and are facing a whole series of charges, including conspiracy, wire fraud, theft and money laundering.

Anyone who thinks they may have been a victim of the scheme is urged to contact the FBI.

The Associated Press contributed to this report.

Nicole Darrah cover breaking and trending news for FoxNews.com. Follow her on Twitter @nicoledarrah.

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