US Marshals searching for escaped prisoner, one of Washington's - Spokane, North Idaho News & Weather KHQ.com

US Marshals searching for escaped prisoner, one of Washington's largest convicted Ponzi schemers

Posted: Updated:
SEATTLE, Wash. -

 (AP) - Authorities say a Washington state man who bilked investors out of more than $100 million in a Ponzi scheme has escaped from a federal prison in central California.
  
According to The Seattle Times, prison officials say 55-year-old Frederick Berg was discovered missing Wednesday from a minimum-security work camp next to a penitentiary in Atwater, California.
  
Berg in 2012 was sentenced to 18 years in after pleading guilty to wire fraud, money laundering and bankruptcy fraud.
  
Prosecutors have that Berg used investor funds from his company, Meridian Group, to buy Lear jets, yachts and million-dollar homes.
  
They said he used more than $100 million from over 800 investors to keep his investment fraud scheme going.
  
Berg was arrested in 2010 in Los Angeles.

(Copyright 2017 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

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