CINCINNATI, OH (FOX19) - The efforts to recoup more than $100 million lost in a Ponzi scheme created by a Cincinnati man are gaining steam.
Former Cincinnati money manager Glen Galemmo pled guilty to creating a Ponzi scheme that bilked his investors of their college savings, retirement funds, and, in some cases, everything they had.
[Related: Ponzi scheme mastermind sentenced to 15 years in prison]
FOX19 Investigates has obtained the court document filed this week showing the efforts to recoup some of the money lost by investors will come from other investors.
The clawback process, as it's called, essentially goes after victims who received payouts from Galemmo. The concept is those payouts are not really money earned, but rather money coming from other victims.
Michael Willner, an Irvine, California man becomes the first "clawback" defendant to agreement to a settlement. Willner will pay back $1.4 million to other victims.
Attorneys say they are currently in contact with dozens of other clawback defendants However, Galemmo's victims have been told to expect only a small portion of what they originally invested with Galemmo to be returned.
Galemmo is behind bars in a federal prison in North Carolina. He is scheduled to be released in 2028.