Thomas Paul Madden, 67, was arrested in January after being indicted on six federal charges, including wire fraud and money laundering.
Federal prosecutors said that Madden led a Ponzi scheme with Jeremy Tyler Grabow that defrauded 200 investors of over $20 million. Assistant United States Attorney Stephen P. Dent estimates Madden has been defrauding people for more than 20 years.
Photo courtesy of the Washington County Sheriff’s Office
Madden used his company, Cascade LLC, to gain over $23 million from people who believed they were purchasing stock in the company.
Madden no longer has any of the money, as he used it to repay previous victims of the Ponzi scheme and on living expenses. The attorney does not think that the money will be able to be repaid to the victims due to the large amount and Madden’s age.
Defense attorney Kristen R. Angelos said Madden did not act alone and was pressured into finding more investors by Grabow.
Since the arrest, Madden has taken full responsibility for his actions and intends to raise money to repay the people affected, according to Angelos.
Upon release, Madden is required to pay $500 a month until the debt is paid, which would take 230 years to complete. Grabow will be tried in May 2026.
Author: Lainey Porter
Photo courtesy of Cody Blowers, St. George News
Editor: Hannah Clove
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