Michael K. Wallens, Jr., of Plano, Texas, has pleaded guilty to securities
fraud. He has been sentenced to five years in prison, and he will also
have to pay out $13 million in restitution. His father Michael Wallens,
Sr., of Spring, Texas, also pleaded guilty to securities fraud earlier
this year in the case, but he has not yet been sentenced.
According to court documents, the Wallens preyed mostly on elderly investors
and allegedly enticed them with promises of a safe and conservative investment
in secured debt obligations. Unfortunately, the Securities and Exchange
Commission (SEC) says that the Wallens used investor cash to make risky
energy, real estate, and other unauthorized investments through their
W Financial Group. The SEC has accused the Wallens and alleged co-conspirator,
Adley H. Abdulwahab, of lying to investors about the safety of their investments.
The trio apparently took in a total of $17.9 million in the alleged investment scam.
The experienced and respected
investment fraud attorneyswith Meyer Wilson represent investors who have lost money in investment
scams, securities fraud, and
Ponzi schemes in mediation, arbitration, and litigation against stockbrokers and financial