Luxury watch trader jailed for Ponzi Scheme

Turns out, being a watch dealer with a Beverly Hills address doesn’t make you legit. Just ask Anthony Farrer, the self-proclaimed Timepiece Gentleman, who’s now trading in his luxury watches for prison time.

The Rise and Fall of Anthony Farrer, the Timepiece Gentleman

Farrer has been sentenced to nearly six years in federal prison after pleading guilty to wire and mail fraud, scamming over 40 people out of more than €5.2 million. Prosecutors say he ran what was essentially a Ponzi scheme, using new clients’ money and watches to cover his tracks while funding a ridiculous lifestyle.

 

Source: WatchProUsa

A Ponzi Scheme in the Luxury Watch World

Here’s how it worked: Sellers would send their luxury watches, like Rolex, Richard Mille, and Patek Philippe to Farrer on consignment. He was supposed to sell them and return the money, minus a small fee. Instead, he kept the cash, used watches as loan collateral, and even recycled other clients’ pieces to keep up appearances.

 

Deception and Lies: How Farrer Exploited His Clients

Some customers paid upfront for watches Farrer claimed he could source for them. They never got their dream timepiece, just excuses, lies, or someone else’s used watch as a temporary distraction.

 

Source: WatchProUsa

The FBI's Intervention and Farrer’s Imminent Prison Sentence

It all came crashing down when victims, many from the watch community, put the heat on law enforcement. The FBI stepped in, and now Farrer’s time has officially run out.