Fraudster jailed for 10 years over £34m Ponzi scheme

Convicted fraudster Kevin Foster was today jailed for 10 years for duping more than 8,000 investors through a number of investment scams.

Foster, 52, who devised and ran "wholly dishonest "schemes that during their
operation attracted £34m from investors over an approximate three year period, was sentenced today at Harrow Crown Court.

Last month, he was found guilty of six counts of fraud under the Theft Act 1968 and eight counts under the Financial Services and Markets Act 2000 ("FSMA"). The loss to investors is said to be more than £17m.

Foster promised high returns on a number of gambling and network marketing schemes but instead used the cash to purchase a farm in Kent complete with swimming pool and Koi carp breeding facilities.

He also spent more than £700,000 on cars, purchased other properties and paid off some of his own debts with the money, collected over three years from 2001.

In one instance, Foster returned just £1,700 to investors who pumped in a total of about £12m to an overseas pyramid scheme.

He is said to have boasted that for every £1 invested he made more than £28.

FSA investigators ended the activities of Foster in 2004 but it took six years to bring him to justice. In January, he was found guilty on 14 counts, including six of theft.

Foster's wife, Elaine, launched an incredible outburst, last week, saying: "We're the real victims. The small amount of investors who aren't happy should stop grumbling. Kevin never forced them to hand money over."