A Merrillville man has been sentenced to five years in federal prison after
being found guilty at trial of wire fraud and structuring transactions to
evade reporting requirements, the U.S. Attorney’s Office for the Northern
District of Indiana said.
Eugene Wilson Sr., 56, was also sentenced to four years of supervised
released, the U.S. Attorney’s Office said.
“Wilson stole approximately $1.5 million from three groups of investors,”
the U.S. Attorney’s Office said.
The investigation began when the FBI received a complaint that Wilson had
defrauded persons through a Ponzi-type scheme, in which he “convinced
individuals to invest money with him by promising a very high rate of
return,” the U.S. Attorney’s Office said. “To lure the investor into the
scheme, Wilson created a written agreement and promised to keep the funds in
an escrow account. In all three events, upon receiving the money, Wilson
immediately wire-transferred the funds to third parties, most of whom banked
in Europe. Wilson then lied about the whereabouts of the funds and finally
ended communications with the investors.”
“In 2008,” the U.S. Attorney’s Office added, “Wilson received a series of
wire transfers. He then engaged in a series of bank transactions to avoid
the bank reporting that he had received more than $10,000 in cash.”