Web Radio Backer Pleads Guilty in Ponzi Scheme
David Hernandez faces 14 years in prison if convicted of mail fraud
Thursday, Jan 28, 2010 Updated at 4:45 PM CST
A partner in a Chicago web radio sports show has pleaded guilty to swindling as many as 250 investors out of more than $6 million in a Ponzi scheme that guaranteed risk-free monthly returns of at least 10 percent.
David Hernandez appeared before U.S. District Judge Robert Gettleman on Thursday and pleaded guilty to a single count of mail fraud. He could get up to 14 years in prison under federal guidelines.
Hernandez fled downstate and attempted to commit suicide after the scheme was exposed.
He was one of two men who in early 2009 launched ChicagoSportsWebio.com -- a now defunct online radio show with popular host Mike North. North has not been accused of any wrongdoing.
Copyright Associated Press / NBC Chicago