A 78-year old Texas man has drawn a seven year federal prison sentence for the oil and gas Ponzi fraud scheme he ran.
James VanBlaircum of Colleyville admitted to what he did over a nine-year period. He pleaded guilty in February and was ordered to pay more than $32.2 million in restitution.
The scheme involved securities offered by two oil and gas companies he controlled and operated, Signal Oil and Gas Co. and Texas Energy Management.
The Justice department started an investigation after it was contacted by the Texas State Securities Board. The board had received complaints about VanBlaircum over programs he promoted and misrepresentations by Signal Oil and Gas Co. salespeople.
Federal agents determined that at least 53 investors were victims of mail fraud.
