Michelle Bisnoff convicted in $2 million smart ring Ponzi scheme

A federal jury in Orange County has found Michelle Bisnoff guilty of orchestrating a Ponzi scheme that defrauded investors of nearly $2 million. Bisnoff, 59, faces charges including six counts of securities fraud, six counts of wire fraud, and two counts of money laundering.

According to the U.S. Attorney’s Office for the Central District of California, Bisnoff was hired by the British company McLear Ltd. to develop a U.S. market for its patented smart rings, which allow users to embed credit card information in wearable devices. Bisnoff allegedly formed a company called Esos Rings Inc. and falsely claimed to own the key patent for the technology.

Prosecutors stated that Bisnoff misled investors by claiming Esos was profitable and that she was securing inventory deals with major retailers like Target and Walmart. She also falsely claimed to have received significant investments from Apple Inc. and Roc Nation, and promised investors they could buy back shares at inflated prices. In reality, the company had minimal revenue and no such agreements or investments existed.