Robert Shapiro

What the public record shows

Robert Shapiro, former owner, president, and CEO of the Woodbridge Group of Companies LLC, pleaded guilty and was sentenced to 25 years in prison on conspiracy and tax-evasion charges for orchestrating a $1.3 billion investment-fraud (Ponzi) scheme — one of the largest ever. More than 7,000 victims suffered losses. This is a criminal conviction — not an allegation.

The scheme

According to the U.S. Attorney’s Office for the Southern District of Florida:

• Woodbridge sold investors promissory notes and “first-position” real-estate loans, falsely claiming the business was profitable and advertising high, safe returns.
• In reality it was a Ponzi scheme — hundreds of millions from new investors were used to pay “returns” to earlier investors.
• Shapiro misappropriated roughly $25–95 million for himself and his family, spending on $3.1M in private jets, a $6.7M home, $2.6M in home improvements, and $672,000 on luxury cars — and evaded more than $6 million in taxes.

Many victims were retirees who put life savings into what was pitched as a safe, real-estate-backed income product.

Why we rate this 1 / 10 — Avoid

A guilty plea and a 25-year sentence in one of the largest Ponzi schemes in history. “Real-estate-backed promissory notes paying high fixed returns” is a recurring fraud template — the collateral story makes the fixed payments feel safe.

How to spot promissory-note fraud

• High fixed returns + “backed by real estate” is the exact combination regulators warn about. Ask who holds the collateral and whether the loans actually exist.
• Confirm the notes are registered securities or properly exempt, and that the seller is licensed — check the SEC and your state securities regulator.
• Be especially cautious of products marketed to retirees as safe income.

Bottom line

Convicted and serving 25 years. A promissory note is only as sound as the borrower and the collateral behind it — verify both before believing the yield.

← Back to all reviews