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Wednesday, November 11, 2026Nov 11

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Former Chattanooga businessman Woods agrees to over $30 million restitution in Ponzi scheme

Staff file photo / John J. Woods is a former investor in the Chattanooga Lookouts. He pleaded guilty to a wire fraud count in March 2023 relating to a Ponzi scheme.
Staff file photo / John J. Woods is a former investor in the Chattanooga Lookouts. He pleaded guilty to a wire fraud count in March 2023 relating to a Ponzi scheme. Staff file photo / John J. Woods is a former investor in the Chattanooga Lookouts. He pleaded guilty to a wire fraud count in March 2023 relating to a Ponzi scheme.

Former Chattanooga businessman John J. Woods, sentenced in February to nearly eight years in prison for running a Ponzi scheme, has consented to a restitution judgment of $31.2 million, court papers show.

But his lawyer said in a filing the amount is “an astronomical figure” Woods can’t ever repay in light of his financial condition, incarceration, age and earning prospects after his release.

(READ MORE: Woods sentenced in Ponzi scheme)

Still, government prosecutors at a hearing Tuesday in Atlanta were expected to ask a federal judge that Woods, 59, pay another $2.9 million in interest and push the total restitution figure to $34.1 million.

Prosecutors said in a court filing the former Chattanooga Lookouts investor cannot establish that he will be unable to pay interest in the future on the criminal restitution judgment.