Did FTP maybe commit a crime? Yes. Was the crime it committed a Ponzi Scheme under the strict definition of the term? No.
Mr. Boss declined to address the substance of the charge because, he said, he did not represent all the individuals involved. But he said the Ponzi scheme language suggested an inherently flawed business model, which did not fit the charge, even if it were true.
“Even if, if a crime was committed, that doesn’t make it a Ponzi scheme,” he said, arguing that Full Tilt may have been mismanaged but was still an actual business. He said the term was not just wrong but “it’s loaded, particularly post-Madoff.”