A Wisconsin man who falsely presented himself as a wealthy businessman has been charged with running a $15 million Ponzi scheme and using investors' money to support his "extravagant lifestyle," including buying over 300 snowmobiles, according to federal prosecutors.
A criminal complaint unsealed this month charges Wausau resident Stanley Pophal, 63, with wire fraud and money laundering. He made his initial federal court appearance June 16 following his arrest two days earlier and was detained pending further proceedings, the U.S. Attorney's Office for Wisconsin's Western District announced.
Pophal is not not registered with the Securities and Exchange Commission or the Financial Industry Regulatory Authority, although prosecutors referred to him in a news release as an investment advisor.
Pophal lured investors to buy promissory notes offering supposedly guaranteed rates of return, prosecutors allege. He took in over $15 million from at least 120 investors from May 2019 to March 2025, they said. He didn't invest the majority of investor funds, allegedly using the money instead to live an extravagant lifestyle.
"To keep the fraud scheme going, Pophal also used new investor money to make 'lulling payments' to previous investors to make it appear as though those investors were earning investment returns," the news release stated.
The FBI and the Internal Revenue Service Criminal Investigation conducted the probe leading to Pophal's arrest.
IRS special agent Taylor Hughes, in an affidavit filed with the U.S. District Court in Wisconsin, said that financial records indicate that Pophal received over $15.8 million from at least 128 individuals.
"Pophal told some investors that he was licensed investor and a fiduciary. Pophal represented himself to the investors as highly successful and wealthy," the agent stated.
"Pophal often told investors that God had 'blessed' him with 'good fortune' and helping people make money was Pophal's way to 'pay it forward,'" Hughes said in the sworn affidavit. "The government’s investigation has revealed that part of Pophal's appeal ... was his verbal proclamations of wealth, along with a physical display of wealth, which included his vast snowmobile collection."
According to the affidavit, "During interviews with agents, some investors recalled Pophal bragging about his business successes in the past that made him a millionaire, such as the sale of Celcom cellphone companies, the creation and sale of car wash dryers, the purchase and sale of real estate, ownership of ginseng farms, and ownership of a family fox farm.
"The investors also recalled that Pophal was wealthy enough to purchase hundreds of collectible racing snowmobiles, racing motocross bikes, and racecars. Pophal expressed to some investors that he was a multi-millionaire and expressed to others that he was a billionaire. Pophal also recorded a testimonial that he posted online, discussing his history of financial wealth," Hughes said.
Pophal's lawyer didn't immediately respond to an email seeking comment Thursday.
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