TERRELL, Texas — A North Texas man has pleaded guilty to wire fraud charges, federal officials announced Thursday.
The U.S. Department of Justice said Michael Disman, 41, pleaded guilty on July 19 to operating an investment fraud scheme using various companies he controlled, including “Dexter Development” and “Disman Energy.” Federal officials said Disman solicited funds from victim investors for purported lucrative land development projects, when in reality, those projects were non-existent, and the investor funds were spent elsewhere.
The DOJ said Disman "made various material misrepresentations about investor payouts and the use of investor money, executing sham contracts and sharing real estate paperwork to add legitimacy." Disman actually used the investor funds for various non-business purposes, including on ATM cash withdrawals and drug purchases, DOJ officials said in a release.
In total, Disman defrauded at least 20 victim investors and caused at least $3.2 million in losses.
Disman faces up to 20 years in federal prison.
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