Hamilton Businessman Admits to $50 Million Ponzi Scheme, Faces Prison Sentence

Miles “Burt” Marshall, a 74-year-old businessman from Hamilton, New York, pleaded guilty Tuesday to charges related to a Ponzi scheme that defrauded hundreds of investors out of more than $50 million, according to the New York State Attorney General's office.

Marshall entered guilty pleas to second-degree grand larceny, securities fraud, and first-degree scheme to defraud in Madison County Court. Prosecutors said Marshall faces a sentence of four to 12 years in prison, with sentencing scheduled for June 11.

Authorities said Marshall, who prepared taxes and sold insurance in the Hamilton area, solicited funds from neighbors, churches, and local organizations for what was often called the “8% Fund,” promising annual returns. A bankruptcy trustee later found that by 2011, Marshall was using new investments to pay earlier investors, and ultimately owed nearly 1,000 people and organizations about $95 million in principal and interest.

Marshall filed for Chapter 11 bankruptcy in 2023, declaring more than $90 million in liabilities and $21.5 million in assets. The attorney general stated that Marshall also used investor funds for personal expenses, including shopping and vacations. Marshall’s attorney has not responded to requests for comment. The case remains pending until sentencing next month.