"Newman is said to have lured investors by misrepresenting his own ability to pay back funds, [...] He then used the funds to pad his own finances or pay back e

"Newman is said to have lured investors by misrepresenting his own ability to pay back funds, [...] He then used the funds to pad his own finances or pay back earlier investors." What? Why would you pay investors #1 back if you were planning to screw investors #2? Or was he planning to just take ever bigger gambles?