Some lost their savings. Some, their homes. Some lost everything. At least 116 investors lost money to Douglas Grozelle, the man at the top of a $24.6-million alleged Ponzi scheme.

He was a punk rocker who wanted to be a millionaire. Screaming into a microphone, the Burlington teen with spiky blond hair played the part of the ‘90s frontman. He was disheveled and rebellious ...