PLANO (March 28, 2013)—A U.S. District Court jury deliberated for six minutes before finding a Texas man guilty of defrauding investors as part of an $11 million investment scheme.
Gary Lynn McDuff, 48, of the Houston suburb of Pasadena was found guilty Wednesday of conspiring to defraud investors.
He faces as much as 20 years in prison.
A sentencing date hasn’t been set.
Two co-defendants previously admitted their guilt in the scheme and have been sentenced to federal prison.
McDuff and another defendant created the Lancorp Investment Fund and solicited investments from people across the U.S. McDuff recruited the third defendant to sell investments, prosecutors say.
All three made false claims to their investors in order to induce payments, prosecutors say.
Prosecutors say McDuff then laundered the proceeds in order to continue operating the scheme.