A B.C. judge has certified a class-action lawsuit against HSBC Bank Canada in connection with a $30-million Ponzi scheme.

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A B.C. judge has certified a class-action lawsuit against HSBC Bank Canada in connection with a $30-million Ponzi scheme.

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In an investment scheme that was exposed as a fraud in early 2016, Virginia Tan encouraged investors to lend her money on very attractive terms for use in her loan business.

She was, however, running a Ponzi scheme that involved the West Vancouver woman using fresh funds received from investors to pay out older loans. Such schemes require a perpetual supply of fresh investment funds to continue and are bound to collapse at some point.

Jastram Properties Ltd., which invested more than $6 million and has only recovered about $1.8 million, filed separate class-action lawsuits against Tan and members of her family, and HSBC. There are about 80 investors who are class members.

Tan admitted the essential…

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