$130 Million Ponzi Scheme Rattles West African Nation of Benin

The government said in a statement last month that more than 130,000 people gave their savings to Investment Consultancy and Computering Services. Together they lost more than $130 million, the statement said.

The corporation was registered as a nonprofit computer service company and was operating illegally as a banking institution. ICC was forced to close July 1, and more than a dozen of its employees were jailed.

But the reverberations have echoed to the top of Benin's power pyramid and now threaten President Boni Yayi, who appeared on television with ICC managers.

Television news shows showed Yayi and other top government officials posing alongside the managers of the investment firm. The images were reproduced on T-shirts. While investors interpreted Yayi's presence as an endorsement, the president did not officially speak in favor of ICC during the appearances.

In this country of 8.7 million people, the average yearly income hovers at $750. Many lost months to years of savings in the scam.