RENO — A Montana man convicted of running an investment scam on the Internet was sentenced Tuesday to 25 years in federal prison and ordered to pay $13.2 million in restitution to more than 1,400 investors.
U.S. District Judge Larry Hicks in Reno told Rick Young, 52, of Lewistown, that the fraud carried out by his Nevada-based Global One Group from 2006 to 2007 was “incredibly repulsive.”
Many of the victims, the judge said, were vulnerable, “middle-class working people taking money out of accounts, trading out of their 401(k) plans, their pension plans, even off of their credit cards.”
“Frankly, it was nothing more than a type of Ponzi scheme, but it was incredibly sophisticated,” he said.
Among other things, prosecutors said Young and his partner used the money for their own gain in 2006 and 2007 partly by falsely marketing the Global One as a licensed securities broker. A federal jury in March convicted Young of one count of conspiracy to commit mail and wire fraud, two counts of wire fraud, three counts of money laundering and one count of securities fraud.