Warren man charged in ponzi scheme that bilked investors out of $7M

CLEVELAND — David J. Harriett, 60, of Warren is charged with one count of mail fraud in an alleged Ponzi scheme that defrauded about 200 investors of about $7 million, the U.S. attorney said.

Harriett, who was the owner and president of DJ Harriett Inc., was charged in an information filed today in U.S. District Court. The filing of an information usually means the defendant won’t contest the charge.

The information alleges that from August 1996 through January 2010, Harriett represented to those investors that he and his company were approved “project managers” for the construction of new McDonald’s and Pioneer Chicken franchise restaurants in Northeast Ohio, New York, Indiana, Pennsylvania and Florida.

Harriett solicited investors, and, in exchange for their investments, provided them with promissory notes purportedly guaranteeing the return of their investment, plus significant interest, the U.S. attorney said.

For the complete story, see Tuesday's Vindicator and Vindy.com