Broken business contract:Lost 30k from scam artist..Is threatening to go to the FBI+States Attorney Blackmail?

Question by Diego: Broken business contract:Lost 30k from scam artist..Is threatening to go to the FBI+States Attorney Blackmail?
OK So here is the scoop: I had a business contract with a guy that was broken by him and it cost me $ 20k (I had handed my online business which made $ 30k a year to him under contract to manage it in exchange for a portion of the profit)…after this I did some investigating and found out he had scammed others to the tune of $ 40k+ over the years… for example people paid him to make a website and he took their money and never made the site and never refunded their money…among other scams he has committed….

Here’s my question is it blackmail or extortion for me to threaten to contact the FBI and States Attorney about this if I give him a chance to resolve or settle this matter and he doesnt?

In my mind what he did was fraud and there are other cases of it to back this up these scams have been committed with residents of multiple states…Any Lawyers or Law Students care to offer an advice aside from “get a lawyer”?

Thanks
Here is an example of something similar to what I might send him..is this blackmail or extortion?

Dear Sir,

It has become apparent to me that you think this is a game you can get away with and that you can continue to defraud people and get away with it.

I have documented over $ XX,XXX in Fraud committed by you where you took a person’s money or business (in my case) and received nothing or very little at all in reimbursement back from this.

From my investigation of your business doings this would be easily proven in court that these were fraud and not “my dog ate my homework” or “I’m having marriage problems” or any other lame excuse you come up with to justify screwing people out of their money.

This is a criminal offense and you could get serious jail time for it. You are playing with fire my friend. (Continued next post)
Your actions have infuriated me to the point that there is no backing off now and you know if I can hold on to this tenaciously for 10 months so far that I can hold on+keep going for another 3 years on the principle that by principal I can’t stand dishonest people. You are stirring up a storm and you will not like the end result. I am not scared of you and I know your fear tactics you play on people.

You screw them and then threaten them with legal action if they say anything to others (exercising their 1st amendment rights) about how you screwed them to warn others. This scares others but I see how this entire plot of yours is constructed+what feeds it and what starves it.

This is your final opportunity to settle this matter+make things right as well as make things right with (another persons name) since your screwing him around is about to get him kicked out of his place, yet you think screwing up people’s lives is just a game or a “business plan of action”. (Continued Next)
Should a settlement be not be reached with myself AND (another persons name) not be paid by the end of the day on August 1st I will be going to the authorities on this matter (Your Sheriff, Your States Attorney, and the FBI). And I have done very thorough investigating on you my friend; I know all your other businesses, your websites, your accounts at different places and most every other aspect of your business, the contact information of people you have screwed…among other things.
This is your last chance to make things right. Be warned….If you balk at this you are going to have a maelstrom of problems ahead of you.

(End of Letter)

Best answer:

Answer by mnwomen
You also have another account with the name of Michael. You could at least change the story if you are going to do multiple postings of the same stuff. If you have proof then go to the police.

Know better? Leave your own answer in the comments!