Investment Broker and Attorney Charged with Running Multiple Ponzi Schemes

ATLANTA - Roosevelt Tobias "Toby" Bailey, a Duluth, Georgia resident, and Alvin Jones, a former prosecutor and current practicing attorney, have been indicted, arrested, and arraigned in federal court on charges arising from two alleged multi-year, multi-million-dollar Ponzi schemes.

"Bailey allegedly lured investors based on promises of massive returns and false assurances that their investments would be held in Jones's trust accounts. But instead of safeguarding that money, Jones allegedly funneled it to Bailey, keeping a piece for himself, while investors lost their savings," said U.S. Attorney Theodore S. Hertzberg. "My office will relentlessly prosecute anyone who deceives victims into investing based on lies and deception."

"Ponzi schemes prey on people's trust and can devastate the lives of those who invest their hard-earned money believing it is secure. As alleged, Bailey and Jones used promises of extraordinary returns and the credibility of an attorney's trust accounts to deceive investors and divert their money for personal gain," said Marlo Graham, Special Agent in Charge of FBI Atlanta. "The FBI and our partners will continue to follow the money, expose financial fraud, and hold accountable those who exploit investors for their own benefit."

According to U.S. Attorney Hertzberg, the indictment, and information provided in court: From approximately October 2018 through October 2022, Bailey allegedly operated two fraudulent investment schemes through his company, Borg Global.

The first scheme-called the Micro-Cap program-promised investors that Borg Global would pool investor funds to purchase precious stones and metals from outside the United States and then resell them for a higher price within the United States, effectively doubling the initial investments.

The second scheme-called the Standby Letter of Credit (SBLC) program-promised extraordinary returns of up to 16 times the principal investment within 30 to 90 days. Bailey allegedly claimed that Borg Global could lease or monetize SBLCs from major banks or corporate entities using investor funds, explaining that the institutions would then use the SBLCs as collateral for their own credit lines, retain a portion of the proceeds, and return the remainder to Borg Global for distribution to investors.

Neither program used investor funds for its intended purpose. Instead, Bailey allegedly funneled the money to himself and used it on personal expenses. He hid his use of the funds by directing investors to send their funds to Jones's interest on lawyer trust Account (IOLTA) accounts, which are intended to hold client funds in trust. Instead of sending the investor funds to the Micro-Cap or SBLC programs, Jones-at the direction of Bailey- allegedly sent the funds to Bailey's personal and business accounts, as well as to prior investors to perpetuate the schemes. Jones also kept a portion of the funds for himself.

Between October 2018 and October 2022, Bailey received nearly $2 million in investor funds. In October 2022, Bailey stopped communicating with investors, resulting in substantial financial losses to investors.

Today, Alvin Jones, 58, of Tampa, Florida, was arrested and arraigned in federal court following the arrest and arraignment of Roosevelt Tobias "Toby" Bailey, 70, of Duluth, Georgia, on October 16, 2026. On September 22, 2026, a federal grand jury charged Bailey with seven counts of wire fraud, one count of money laundering conspiracy, and three counts of money laundering, and charged Jones with one count of money laundering conspiracy and three counts of money laundering.

Members of the public are reminded that the indictment only contains charges. The defendants are presumed innocent of the charges, and the government has the burden to prove the defendants' guilt beyond a reasonable doubt at trial.

This case is being investigated by the Federal Bureau of Investigation with assistance from the Securities and Exchange Commission.

Assistant United States Attorneys Bethany L. Rupert and Sara Lim are prosecuting the case.

Members of the public should beware of SBLC-related scams in their investment dealings. An SBLC is a financial instrument issued by a bank on behalf of its customer to serve as a guarantee for borrowing money and is treated much like a loan. An SBLC is not itself an investment vehicle, and it cannot be traded, bought, or sold. Additional information is available in the FBI's public service announcement at https://www.ic3.gov/PSA/2019/PSA190318.

For further information please contact the U.S. Attorney's Public Affairs Office at [email protected] or (404) 581-6185. The Internet address for the U.S. Attorney's Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.