A Frisco man has pleaded guilty for his alleged participation in a
Ponzi scheme involving more than $3 million. Thomas Lester Irby II entered his guilty
plea on Thursday, December 16, 2010.
According to reports, the 41-year-old Frisco man pleaded guilty to felony
charges of money laundering, theft and securities fraud in a Ponzi scheme
that supposedly took more than $3 million from unsuspecting investors.
Investors were told that Mr. Irby, owner of Plano-based Titan Wealth Management,
was going to invest their money in what he referred to as “European
Mid-Term Notes.” They were under the impression that they would
be receiving low-risk returns on their investments. In the end, they got nothing.
Commercial real estate broker Jeffrey Staubach, and son of legendary football
great Roger Staubach, lost $600,000 by investing with Mr. Irby. Mr. Staubach
indicated that he knew Mr. Irby for years and that he trusted him. He
was planning on using the money to put his three children through school.
“I never thought for a minute he could be committing fraud,”
said Mr. Staubach.
Karen Bowie of York, Maine, and John J. Kim of Sparks, Md., have also been
indicted on charges involving the alleged investment scam.
The Securities and Exchange Commission has filed a lawsuit against Mr.
Irby, as well.