A beloved tax preparer and insurance agent in Hamilton, New York has been indicted in an alleged $95 million Ponzi scheme that spanned over a decade, devastating hundreds of local investors and upending a community’s trust.
At a Glance
- Miles “Burt” Marshall promoted a fund promising 8% annual returns via real estate
- Filed for Chapter 11 bankruptcy in 2023 with $95M in liabilities and $21.5M in assets
- Federal prosecutors accuse him of running a Ponzi scheme since at least 2011
- Marshall pleaded not guilty to securities fraud and grand larceny charges
- Victims are projected to recover only 5.4% of their invested funds
Hamilton’s Trusted Man
For years, Miles Marshall was a fixture in the small college town of Hamilton, home to Colgate University. Known affectionately as “Burt,” he built a reputation as a trustworthy financial adviser. His “8% Fund,” launched under the pretense of safe real estate investments, attracted nearly 1,000 investors, many of them local educators, retirees, and small institutions. Marshall’s charm extended beyond the professional—he sent birthday greetings, gave out jars of honey and maple syrup, and hosted festive gatherings for his clients.
Watch now: Victims of Madison County Ponzi scheme talk about losing everything · YouTube
Clients believed their money was secure, buoyed by consistent interest payments and the perceived stability of the local market. However, those payouts were not the product of real estate success. Instead, prosecutors allege Marshall used incoming funds from new investors to pay existing ones—a classic Ponzi model. His fund reportedly offered returns no traditional investment could safely match.
A House of Cards
Marshall’s financial empire began to crumble when he filed for bankruptcy in April 2023. Documents revealed staggering liabilities of $95 million and assets totaling only $21.5 million, largely in illiquid real estate. Court filings allege that Marshall misused investor funds to pay personal expenses, including travel, groceries, and yoga studio memberships. Trustees claim he falsified financial statements to show fabricated earnings and inflated account balances.
In June 2025, Marshall was formally indicted on multiple charges, including securities fraud and grand larceny. Prosecutors estimate over $50 million of investor money was diverted for improper use. Despite pleading not guilty, the scale of losses and the breadth of the scheme have sparked community outrage and legal scrutiny.
Victims and Fallout
The collapse has left Hamilton reeling. Some investors lost tens of thousands; others, their entire retirement. One couple is owed over $1.5 million. The estimated recovery rate—5.4 cents on the dollar—means most victims will never reclaim more than a fraction of what they entrusted to Marshall.
Compounding the tragedy are lawsuits now targeting financial institutions suspected of turning a blind eye to irregularities in Marshall’s fund transfers. These suits aim to recoup losses, but the road to restitution will be long and uncertain.
The Marshall case is a stark reminder that even close-knit communities are not immune to financial deception. What began as a promise of stable, local returns has become a cautionary tale with generational consequences.
