LONDON, Ky. (AP) — A Kentucky man has been sentenced to nine years in federal prison for using fake investment schemes to bilk people out of $2.4 million.
Rodney Scott Phelps of Somerset was also ordered in federal court last week to pay restitution. Prosecutors say Phelps and a co-defendant convinced investors to pour money into an oil venture opportunity involving the government of Belize.
Another scheme involved investing in various commodities markets and a third convinced victims to invest in a Mississippi casino purchase.
Instead, the pair used the money for operating expenses for their private-equity firm, to pay themselves and make Ponzi payments to other investors.
