NEW ORLEANS (AP) - A Louisiana man has been sentenced to one year and a day in prison for diverting money solicited from property investors to his personal use.
Acting U.S. Attorney Duane A. Evans' office says 56-year-old John F. Kelly III, of Metairie, was sentenced Wednesday by U.S. District Judge Kurt D. Engelhardt.
NOLA.com/The Times-Picayune reports Kelly operated a tax sale investment business from 2011 through 2014 and during roughly the same time, he schemed to defraud investors through false promises. Authorities say he also operated in Georgia, Florida and Indiana.
Court records indicate Kelly's scheme centered on tax-delinquent property purchases and featured a "sales pitch emphasizing a quick rate of return for investors." Instead, Kelly used investment money to pay off personal loans and to buy real estate in New Orleans.
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Information from: The Times-Picayune, http://www.nola.com