TERRELL, Texas — A man from Terrell has been sentenced to 20 years in federal prison for defrauding investors in the Eastern District of Texas, according to U.S. Attorney Damien M. Diggs.
TERRELL, Texas — A man from Terrell has been sentenced to 20 years in federal prison for defrauding investors in the Eastern District of Texas, according to U.S. Attorney Damien M. Diggs.
41-year-old Michael Disman, of Terrell, Texas, pleaded guilty to wire fraud charges and was sentenced by U.S. District Judge Amos Mazzant on Jan. 25, 2024. In addition to his prison sentence, Disman was ordered to pay restitution of approximately $2.7 million to his victims.
Court documents reveal that from January 2018 to March 2022, Disman operated an investment fraud scheme using various companies he controlled, including Dexter Development and Disman Energy. Disman solicited funds from victims for supposed lucrative land development projects, which in reality, were non-existent. The investor funds were instead spent elsewhere.
To carry out his scheme, Disman made various false statements about investor payouts and the use of investor money, executed sham contracts, and shared real estate paperwork to create an illusion of legitimacy. Disman used the investor funds for various non-business purposes, including ATM cash withdrawals and drug purchases. In total, Disman defrauded at least 17 victim investors and caused at least $2.7 million in losses.
The FBI investigated the case, which was prosecuted by assistant U.S. attorneys in the Plano office.