8 financial scandals that shook Miami businesses

The financial scandals swirling around Miami's business landscape expose a pattern of misconduct across industries.

The cases reveal fraud schemes such as pandemic-related relief defrauds and Ponzi schemes targeting investor funds. High-profile cases included a developer exploiting federal COVID-19 aid and a real estate leader accused of misappropriating condo deposits.

Here's a look at some of the cases.

The summary above was drafted with the help of AI tools and edited by journalists in our News division. All stories below were reported, written and edited by McClatchy journalists.

Two Miami-Dade business owners are going to prison for more than eight years for running a massive $93 million Medicare fraud scheme that involved the recruitment of Cuban immigrants.

NO. 1: MEN SWINDLED SOUTH FLORIDA’S HAITIAN INVESTORS BY PROMISING THEM MILLIONS, STATE SAYS

Anson Jean-Pierre and Edy Durosier face a slew of charges connected to the alleged fraud targeting Haitian American investors in Miami-Dade and Broward. | Published January 11, 2024 | Read Full Story by Grethel Aguila

The former location of Sabor Latino Bar & Grill, 2350 NW Seventh St., in a Little Havana strip mall. Prosecutors say Miami police officer Djimy Joseph owned the restaurant and that misdemanor violation led to an investigation that found felony violations. By DAVID J. NEAL

NO. 2: EX-MIAMI COP LIED TO GET $246,000 IN PPP LOANS DURING THE PANDEMIC, AUTHORITIES SAY

A routine inspection of Djimy Joseph’s Sabor Latino Bar & Grill in Miami led investigators to open a public corruption probe into the Miami police officer. Police officers cannot own a bar. | Published April 29, 2024 | Read Full Story by Omar Rodríguez Ortiz

Eric Sheppard — the first South Florida real estate developer to be charged with COVID-19 loan relief fraud — was granted bail and pleaded not guilty at his arraignment in Miami federal court on Tuesday. Sheppard, 53, said through his defense lawyers that he “looks forward to clearing his name and being exonerated.”

NO. 3: CARILLON DEVELOPER ERIC SHEPPARD CATCHES BIG BREAK ON POTENTIAL PRISON SENTENCE

Eric Sheppard is best known for renovating the Carillon hotel and spa on Collins Avenue in Miami Beach. | Published June 4, 2024 | Read Full Story by Jay Weaver

Lottery ticket worth $2 million sold at gas station in Florida Panhandle. The buyer was from Alabama. By Getty Images | Royalty Free

NO. 4: MIAMI MEN WILL PAY $1.29 MILLION AFTER ALLEGED FRAUD TARGETING MIAMI VENEZUELANS

What the SEC described looks like a Ponzi scheme. | Published October 22, 2024 | Read Full Story by David J. Neal

Miami Mayor Francis Suarez speaks at the Miami Beach launch of URBIN, developer Rishi Kapoor’s project, company website shows. Company records show the developer paid Suarez at least $170,000 since 2021.

NO. 5: DOZENS OF CONDO BUYERS WHO LOST MILLIONS IN KAPOOR’S MIAMI BEACH PROJECT SEEK JUDGE’S HELP

The proposed sale of a Miami Beach condo project developed by Rishi Kapoor means buyers may lose, collectively, $10 milion in deposits. | Published September 20, 2024 | Read Full Story by Jay Weaver

Five more people have been charged by the SEC in the MJ Capital Funding fraud. By Getty Images | Royalty Free

NO. 6: FIVE MORE POSSIBLE CRONIES OF BROWARD’S ‘MOTHER TERESA’ CHARGED IN HER $196M FRAUD

More charges in the MJ Capital scam. | Published October 2, 2024 | Read Full Story by David J. Neal

Hombre que le estafó $760,000 a FedEx al reclamar paquetes que nunca se enviaron enfrenta larga condena.

NO. 7: HIALEAH TRIO FACES PRISON AFTER RIPPING OFF $14.5 MILLION FROM PANDEMIC LOAN PROGRAM

A Hialeah-based ring hatched an elaborate fraudulent plot to cash in on the PPP loan program for businesses during the pandemic. | Published November 19, 2024 | Read Full Story by Jay Weaver

Archive By ERIC PAUL ZAMORA/THE FRESNO BEE

NO. 8: A BROWARD WOMAN CALLED HERSELF ‘MOTHER TERESA.’ SHE’S SENTENCED TO 20 YEARS FOR FRAUD

She ran a $190 million Ponzi scheme out of a strip mall. | Published December 4, 2024 | Read Full Story by David J. Neal

This report was produced with the help of AI tools, which summarized previous stories reported and written by McClatchy journalists. It was edited by journalists in our News division.