A Ponzi scheme is a fraudulent investing scheme where returns are paid to earlier investors using the capital of newer investors. It is a form of financial fraud that leads to the collapse of the investment structure when there are insufficient new investors to pay the earlier ones. 

Guaranteed High Returns

Promised returns are often unrealistically high and guaranteed, which is very rare in the investment world.

Unregistered Investments

The scheme usually involves investments that are not registered with any financial regulator.

Overly Complex Strategies

Details of the investment strategy may be vague or overly complex, often to confuse investors and discourage questions.

Paperwork and Reporting Issues

There may be errors, inconsistencies, or delays in the paperwork, such as account statements.

Secretive or Unclear Business Model

The scheme operators often avoid revealing their investment strategies, claiming it's a "secret formula."

High-pressure Sales Tactics

There is often pressure to reinvest earned money and to recruit family and friends into the scheme.

1. Consult Regulatory Agencies: Check whether the investment and the firm are registered with the appropriate regulatory agencies.

2. Ask for Documentation: Always demand clear, written, and verified documentation about the investment.

3. Financial Audit: Verify if the firm undergoes regular third-party audits.

4. Seek Professional Advice: Consult with a financial advisor who is not connected to the investment opportunity.

5. Do Your Research: Verify claims made about the investment, such as historical returns and the track record of the firm's operators.

1. Stop Investing: Do not invest any more money.

2. Document Everything: Keep a record of all interactions, transactions, and paperwork.

3. Contact Authorities: Report the scheme to your country’s financial regulator and law enforcement agencies.

4. Consult a Lawyer: Seek legal advice to explore options for recovering your investment.

5. Inform Your Bank: Contact your bank and credit card companies to alert them to the fraud.

6. Notify Friends and Family: If you have referred anyone, inform them immediately so they can take protective measures as well.

1. Legal Action: A civil lawsuit might be an option. However, assets may be depleted by the time the scheme collapses.

2. Receivership or Liquidation: In some cases, authorities appoint a receiver to liquidate assets and distribute them to investors.

3. Restitution: If there’s a criminal case and the schemer is convicted, the court may order restitution to victims.

4. Insurance Claims: Some investment accounts have a limited form of insurance, but Ponzi scheme losses are generally not covered.

5. Tax Relief: Consult a tax professional to see if you can claim losses as a theft loss deduction.

Remember, while there is a chance you can recover some of your money, there is no guarantee. Always be cautious and do your due diligence before investing.