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Fort Worth man faces 20 years for oil and gas schemeJuly 24, 2014
FORT WORTH, Texas (AP) — A North Texas man faces up to 20 years in prison in an oil and gas Ponzi scheme that attracted nearly $6 million in investments before he fled to Oregon.
Jeffrey Watts of Fort Worth pleaded guilty Wednesday to wire fraud.
The 41-year-old Watts was charged in March and arrested in May in Eugene, Oregon. He faces sentencing later this year in Fort Worth.
Investigators say Watts since 2011 ran a scheme to defraud oil and gas investors. He presented himself as founder of a company named Blue Alpha Energy and claimed making investments with another legitimate firm, but instead funneled the money to sham accounts and businesses.
Prosecutors say Watts received nearly $5.8 million from about 45 investors before several learned that no legitimate energy deals existed.