Kaufman County man sentenced to 20 years in federal prison for defrauding investors of at least $2.7 million in the Eastern District of Texas
For Immediate Release
U.S. Attorney's Office, Eastern District of Texas
SHERMAN, Texas– A Terrell man was sentenced to federal prison for defrauding investors in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs today.
Michael Disman, 41, pleaded guilty to wire fraud charges and was sentenced to 20 years in federal prison by U.S. District Judge Amos Mazzant on Jan. 25, 2024. Disman was ordered to pay restitution of approximately $2.7 million to his victims.
According to information presented in court, between January 2018 and March 2022, Disman operated an investment fraud scheme using various companies he controlled, including “Dexter Development” and “Disman Energy.” 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. To execute his scheme, 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 ATM cash withdrawals and drug purchases. In total, Disman defrauded at least 17 victim investors and caused at least $2.7 million in losses.
This case was investigated by the FBI and prosecuted by assistant U.S. attorneys in the Plano office.
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Updated January 26, 2024