FORT WORTH, Texas (AP) — Two North Texas men have been sentenced to five-year prison terms and must repay nearly $2.4 million in a Ponzi scam since 2004.
Kurtis Keith Lowe of Fort Worth and Robert Allen Blackburn of Arlington were sentenced in federal court in Fort Worth.
Prosecutors on Monday announced penalties for the men, who in July pleaded guilty to conspiracy to commit mail fraud. No solicited funds were invested.
Authorities say Lowe opened accounts at an out-of-state mail service, with separate telephone numbers, to bolster the scam.
Prosecutors say Blackburn was a licensed insurance agent when he convinced a victim to invest with Omni Capital Management Trust. Lowe was the sole owner of the trust and Blackburn, who recruited investors, knew the entity wasn’t a functioning company.