Nicholson Sent To Upstate Prison

Jan 18 2011 | 9:17pm ET

Hedge fund fraudster James Nicholson will do his time for running a $140 million Ponzi scheme where the world’s best winter athletes once rested their heads.

Earlier this month, Nicholson was sent to a medium security prison in Ray Brook, N.Y., about five miles up the road from Lake Placid, site of the 1980 Winter Olympics. After the games, the Olympic Village was turned into a prison.

Nicholson was sentenced to 40 years in prison in November. He pleaded guilty to fraud in December 2009 and has been imprisoned in a New York City holding facility since his arrest in February of that year.

Nicholson’s Ponzi scheme fell apart in December 2008. He admitted that he began lying to investors as far back as 2004.

The Ray Brook prison is about five hours’ drive from Nicholson’s home in Saddle River, N.J. The judge who sentenced him had recommended he serve his sentence at Fort Dix, N.J., only two hours from his family.

According to the federal Bureau of Prisons, Nicholson is estimated to be released on Dec. 31, 2043. He’ll be 77 years old.


In Depth

Q&A: Star Mountain's Brett Hickey On Investing In 'The Growth Engine Of America'

Sep 22 2017 | 5:06pm ET

Lower middle-market companies form the economic fabric of the nation, but they can...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Don’t Overlook These 6 Hybrid Cloud Concerns

Sep 14 2017 | 6:27pm ET

Cloud-based technology solutions have made tremendous inroads into the alternative...

 

From the current issue of