A man from New Jersey has entered a guilty plea for defrauding nearly 100 victims of over $47 million in a Ponzi-like investment scheme. The stolen money was primarily used to sustain his gambling habit.
The United States Attorney’s Office for the District of New Jersey revealed that Leor Moshe, aged 43 and from Toms River, confessed to defrauding members of the Orthodox Jewish community through a deceptive securities offering related to his company, Capital Funding ASAP, LLC.
Capital Funding purported to provide short-term loans to businesses in urgent need of capital. Moshe assured investors fixed returns ranging from 22% to 53% on one-year investments and 9% to 10% on shorter two- and three-month investments.
However, in reality, federal authorities claimed that Moshe misappropriated the funds to support his lavish lifestyle and gambling addiction.
Victim Losses Surpass $25M
The information presented at Moshe’s guilty plea revealed that he used incoming investments to pay interest to previous investors, but a substantial portion of the money financed his personal expenses.
Despite promising that the funds would be utilized solely for short-term business loans, the money was actually used for personal purposes such as home renovations, mortgages, car loans, and settling gambling debts.
“Rather than funding business loans, Moshe diverted at least $11 million to address personal needs, including gambling debts, credit card bills, home renovations, and housing and vehicle payments. Additionally, he used investor money to repay earlier investors in a manner resembling a Ponzi scheme. Few, if any, legitimate loans were made by Capital Funding,” court documents stated.
When the scheme collapsed in mid-2023, investors had incurred losses exceeding $25 million according to prosecutors.
Upon pleading guilty, Moshe acknowledged the possibility of a maximum 20-year imprisonment term and restitution amounting to twice the victims’ gross loss.
Moshe’s sentencing is scheduled for December 16, 2026, before U.S. District Judge Robert Kirsch in Trenton. He is currently free on a $100,000 unsecured bond.
Gambling Specifics
Although court records do not specify the exact amount channeled toward settling Moshe’s gambling debts, FBI Special Agent Stefanie Roddy mentioned the gambling aspect in her statement regarding Moshe’s admission of guilt.
“Numerous victims trusted Moshe’s promises, only to discover that he diverted their funds to feed his gambling habit, among other things,” Roddy remarked.
The government did not specify the type of gambling activities Moshe engaged in, however, Casino.org identified his profile on the poker database The Hendon Mob. Moshe has one live cash tournament result, earning $535 in May 2015 at a No-Limit Hold’em event hosted by Parx Casino in Philadelphia.