Figure in alleged Colombia scam extradited

The president of a failed Colombian financial services firm suspected of laundering drug profits and bilking thousands of mostly poor investors of millions of dollars has been arrested in Panama and deported, officials said Thursday. David Murcia Guzman, 28, founder of the DMG financial services firm, was detained Wednesday night near Panama City as he prepared to flee to Costa Rica, where there is no extradition treaty with Colombia, Colombian National Police Chief Oscar Naranjo told reporters. DMG is one of 40 financial services firms in Colombia under investigation for running suspected pyramid, or Ponzi, schemes. The firms, which attracted investors with promises of extraordinary returns, are suspected of simply paying early investors and enriching promoters with money from people who invested later, police said.