Thursday, March 28, 2013
Joe Don Johnson was an estate planner who drew up wills for his elder clients and would convince the seniors to invest their life savings with Global West Funding Ltd., a defunct Oklahoma City-based company owned by Bill McKye. It has now been discovered that he was involved in a Ponzi scheme. Johnson promised his client returns up to 20%, but most of the money went to earlier investors, commissions to Johnson, and other expenses.
A federal judge recently sentenced Johnson to ten years in prison and to pay $4.6 million in restitution for his role in the scheme.
Johnson's victims are happy to see that the judge gave Johnson a long prison sentence, but they aren't counting on receiving restitution up to the amounts they lost.
In April 2012, McKye was sentenced to 21 years in prison and ordered to pay $4.5 million in restitution to his victims. McKye has appealed that conviction to the 10th U.S. Circuit Court of Appeals.
See Brianna Bailey, Midwest City Estate Planner Sentenced to 10 Years in Prison for Role in Ponzi Scheme, NewsOK, Mar. 28, 2013.