07/06/2011 12:10 pm ET Updated Sep 05, 2011

PTA Moms Arrested For Ponzi Scheme Worth Millions

Three Diamond Bar PTA moms at Armstrong Elementary School allegedly duped around 40 investors in a Ponzi scheme that lost victims up to $4 million.

Los Angeles County Sheriff's investigators believe that a total of $14 million was drawn in as part of the phony investment scheme and that $4 million was squandered by the PTA mothers.

Two of the women were arrested at their Diamond Bar homes Tuesday after a six month fraud investigation that was linked to a third woman who was already convicted on separate fraud charges, according to Capt. Mike Parker of the Los Angeles County Sheriff's Headquarters Bureau.

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