Financial Group CEO Confesses to Massive $380 Million Ponzi Scheme
An American financial executive has confessed to operating the most extensive Ponzi scheme ever recorded in Georgia's history, utilizing fraudulent funds to sustain an opulent lifestyle. Todd Burkhalter, the chief executive officer of Drive Planning LLC, entered a guilty plea for defrauding more than 2,000 victims out of over $380 million during a period spanning from September 2020 to June 2024.
United States Attorney Theodore S. Hertzberg announced the plea on Wednesday, emphasizing the brazen nature of the crimes. "Unbelievably, Burkhalter shamelessly continued to scam his victims even while under federal investigation," Hertzberg stated. "Today's guilty plea represents merely the initial phase in ensuring Burkhalter faces consequences for the substantial damage he inflicted."
Deceptive Investment Vehicles and False Promises
The 54-year-old Florida native operated his company from Alpharetta, Georgia, targeting investors through several fabricated opportunities. These included the "Real Estate Acceleration Loan" (REAL) and the "Cash Out Real Estate Fund" (CORE Fund). Burkhalter marketed these funds as "easy and simple" investments, actively encouraging individuals to utilize retirement and savings accounts.
He positioned the REAL program as Drive Planning's primary investment vehicle, fraudulently advertising it as a bridge loan that promised investors a guaranteed 10% return every three months. To bolster credibility, Burkhalter deceived investors by asserting the company was fully collateralized by real estate. He fabricated "collateral sheets" listing properties, many of which were entirely fictitious.
Furthermore, Burkhalter exaggerated connections with prominent real estate developers across Georgia, falsely claiming investments were secured by properties within their portfolios. The CORE Fund was marketed with the misleading promise of "100% Passive Income from Tax Liens," guaranteeing returns of 10% every six months or 22% annually for up to three years. This fund alone attracted at least $4.1 million from investors.
Funding an Extravagant Lifestyle with Stolen Funds
Prosecutors revealed that Burkhalter's deceptive practices began at the inception of Drive Planning. He utilized the initial $50,000 from the REAL scheme to repay an early investor $21,000 in 2020. The majority of the stolen funds, however, financed Burkhalter's lavish personal expenditures, which included:
- A $2 million yacht
- A $2.1 million luxury condominium in Cabo San Lucas, Mexico
- Multiple luxury vehicles totaling $800,000, including a 2020 Prevost Marathon motorcoach and two 2024 Land Rovers
- Millions spent on luxury travel and private jet charters
- $320,000 on clothing, jewelry, and beauty treatments
Burkhalter also allocated at least $80,000 in investor funds to cover his ex-wife's attorney fees and recreational vehicle expenses.
High-Profile Marketing and Continued Fraud
The scheme even penetrated professional sports, with Burkhalter paying $400,000 to market Drive Planning LLC inside Tropicana Field, home of Major League Baseball's Tampa Bay Rays. The advertisement, displayed prominently behind home plate, featured the slogan: "Keep more, make more and live more." In June 2024, Burkhalter captured a broadcast image showing the bright orange ads during a Rays game against the Chicago Cubs. Following a court settlement, the Rays were compelled to return half of the sponsorship fee.
Despite the Securities and Exchange Commission initiating an investigation into Drive Planning in March 2024, Burkhalter continued soliciting tens of millions of dollars through the fraudulent scheme until September of that year. As part of his plea agreement, prosecutors are seeking a prison sentence of 17½ years for the convicted fraudster.
