FORT WORTH (CN) – A North Texas man was sentenced Thursday to four years in federal prison and ordered to pay $523,000 in restitution for investment fraud.
Jeffre Francis Halas, 48, of Mansfield, pleaded guilty to mail fraud.
Operating as Halco Capital Management, Halas promised investors specific percentages of earnings based on amounts contributed to a “limited partnership” pool that was to invest in stock and currency exchange markets, prosecutors said.
“Halas, however, quickly lost money in the stock market after investing all but a portion of initial investments,” prosecutors said in a statement. “Instead of disclosing the losses, he issued monthly letters reporting false returns to investors.”
So investors continued to invest with him, until Halas lost it all and told his victims that his company was insolvent two years after beginning the scheme.
U.S. District Judge Terry R. Means ordered Halas to report to prison by July 16.