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Receiver Reaches Out To Winners In NC Scam

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(Photo credit should read STRDEL/AFP/Getty Images)

(Photo credit should read STRDEL/AFP/Getty Images)

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CHARLOTTE, N.C. (AP) — A federal court-appointed receiver is urging people who profited from a $600 million Ponzi scheme to negotiate a possible settlement or face legal action.

Kenneth Bell says he’s planning to pursue claims against thousands of people who made money from the Lexington company ZeekRewards.

Bell posted a letter Monday on the ZeekRewards receivership website, saying investors have until May 31 to negotiate. If they don’t contact his office by then, he will take them to court.

The letter is the latest development in one of the largest Ponzi schemes in U.S. history.

Authorities say ZeekRewards owner Paul Burks of Lexington was the mastermind of the scam that attracted 1 million investors, including nearly 50,000 in North Carolina.

The Securities and Exchange Commission closed the operation in August.

(© Copyright 2013 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

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