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Man Sentenced to Prison in Federal Fraud Case

Gary Ray Bassett admitted to taking more than $850,000 from 25 investors and has consequently been sentenced to 63 months in prison. He has also been ordered to pay restitution.

One of the alarming aspects of this case against Mr. Bassett is that he actually admitted to targeting the vulnerable. He also stated that he told these “victim-investors” that he was acting on behalf of an educational or charitable organization.

The allegations against Mr. Bassett include that he used the fact that he had prostrate cancer to swindle $165,000 from a woman in Colorado who needed the money for her husband’s cancer treatment.

“Bassett stole over $850,000 from 25 victims, then squandered the money on personal items and other non-investment expenditures,” said federal prosecutor Joseph Fazioli. He also described Mr. Bassett’s conduct as “appalling” and said that Mr. Bassett’s intent was to spend all of the money he collected from investors on his own personal expenditures.

The charges against Mr. Bassett come from alleged fraud that took place from about August 2004 to February 2006, according to Jack Gillund, a spokesman for the U.S. Department of Justice. The investors he defrauded were located throughout the United States.

Mr. Bassett used the business names, Miracle Credit Solutions and the Encina Group. It was alleged in a December 4, 2008 indictment that Mr. Bassett told investors he could give them returns of 8 to 15 percent each month.