A New Brunswick Securities Commission hearing panel has levied a $160,000 penalty against the alleged mastermind of a pyramid scheme.

The NBSC says that a hearing panel has issued a significant penalty against Robert Lane, president of Wealth Pools of Orlando, Fla. an alleged pyramid-type investment scheme. Lane was ordered to pay $160,000 in administrative penalties plus $2,000 in costs.

According to the commission, the Wealth Pools scheme affected over 70,000 people in more than 60 countries. In New Brunswick, at least 109 residents invested in excess of $440,000, with most of them seeing none of the profits promised, it reported.

In April, a commission panel accepted a settlement agreement with three New Brunswick residents for the part they played in soliciting investments. They agreed to be permanently banned from trading in securities in the province. Wealth Pools International LLC, through its receiver, also agreed to be permanently banned from trading.

“To the detriment of many New Brunswickers, Lane wanted to bring in as much money as possible as quickly as possible with the intent to defraud investors,” said Rick Hancox, executive director of the NBSC. “The panel found that this scheme deeply affected individuals, families and friends, with significant losses suffered to relationships, reputations and, needless to say, wallets.”

“The scale of the penalty is intended to provide a strong deterrent to Lane and a warning to the general public in regards to pyramid schemes,” he added.