A Delta Junction man has been sentenced to two years in prison and ordered to pay over $580,000 in restitution for running a years-long scheme to defraud nearly two-dozen investors out of over $600,000.
According to court documents, Brian Corty, 53, was the organizer and manager of a conspiracy to use false and fraudulent claims to gain investments for a potential business and use the investments for personal gain. Corty sold investors units in Ice Fog Holdings LLC to raise capital for a ‘Bud and Breakfast,’ which was described as a marijuana theme park where they would grow, cultivate, and sell marijuana, and allow customers to use marijuana on site.
Corty purchased a building on the Richardson Highway near Salcha, Alaska, as the proposed location of the business. He falsely told investors that they were already growing marijuana and generating income and that the business would make millions of dollars in annual sales. Based on these misrepresentations, at least 22 people invested over $600,000 into the fraudulent scheme, and Corty used the money for personal gain, including to refinance his home and pay off debt.
Corty pleaded guilty in January to one count of conspiracy to commit wire fraud. He is also required to serve three years’ supervised release as part of his sentence. ‘Mr. Corty manipulated unknowing investors by promising millions in proceeds and used their money for his personal gain,’ said U.S. Attorney S. Lane Tucker for the District of Alaska. ‘Ensuring that white-collar criminals, like Mr. Corty, are held accountable is a priority for my office. No one is above the law. We will continue to work with our law enforcement partners to pursue prosecutions against individuals who choose to exploit unknowing victims through fraudulent means.’
‘Mr. Corty lured investors with promises of prosperity and guaranteed returns, when in truth, he diverted the investor money to fund his own lifestyle,’ said Special Agent in Charge Rebecca Day of the FBI Anchorage Field Office. ‘Those who engage in fraudulent schemes at the expense of others will be investigated and held accountable.’
The FBI Anchorage Field Office, Fairbanks Resident Agency, with assistance from the Alaska Department of Law, investigated the case. Assistant U.S. Attorneys Tom Bradley and Ryan Tansey prosecuted the case. Corty’s sentence sends a clear message that those who engage in white-collar crimes will be held accountable for their actions.
Related Federal Cases
- Julio De La Cruz Sentenced in Alaska Medicaid, Social Security Scam · Alaska
- Nigerian National Okechuckwu Osuji Gets 60 Years for $6.3M Business Email Scam · Alaska
- Western Union Scam · Washington
- Pharmacist Gets 9 Years for Medicaid Scam · Alaska
- Alaska Doc Bilked $12.5M, Shortchanged Patients · Alaska
Key Facts
- State: Alaska
- Agency: DOJ USAO
- Category: White Collar Crime|Fraud & Financial Crimes
- Source: Official Source ↗
🔒 Get the grimiest stories delivered weekly. Subscribe free →
Browse More
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News