Texas businessman gets 13 years in prison, must sell 90 collector cars to pay back fraud victims
(U.S. Air Force photo by Airman 1st Class Joseph Barron)
FORT WORTH, Texas - A Stephensville businessman’s fraudulent scheme has left him with more than a decade of prison time, and he will have to give up over 90 collector vehicles in order to pay the victims back.
What we know:
Clayton Lloyd Iley, 41, who operated an insurance brokerage business called Clayton Texas Legacy Insurance Group, LLC, was sentenced to more than 13 years in prison for wire fraud and identity theft, according to the U.S. Department of Justice.
What the scheme entailed
Dig deeper:
Prosecutors said Iley offered a scam loan program to multiple victims, telling them he could invest their funds in the program he knew did not exist. He collected over $2 million from this and used the funds to execute other parts of his scheme, the DOJ said.
Iley also told clients he would initiate insurance policies on their behalf, but instead collected their insurance premium payments for himself. He would also target victims by fraudulently opening credit cards in their names, according to officials.
Investigators said Iley used two entities he controlled, Texas Legacy Holdings and Spartan Global, to conduct financial transactions.
Funds used to purchase luxury vehicles
He bought over 90 exotic collector vehicles, including a 2012 Lamborghini Model Ave, a 2018 Ferrari Model 488, and more, with the fraudulently obtained funds.
What's next:
Authorities said all of those vehicles will now be sold to fund restitution for the victims.
Iley pleaded guilty to the charges against him in June. His 160-month sentence was imposed on Oct. 1.
What they're saying:
"Clayton Iley’s conduct caused real financial and emotional harm to the victims he targeted, many of whom trusted him with their personal information and hard‑earned money," said U.S. Attorney Ryan Raybould. "This sentence reflects our commitment to holding fraudsters accountable. Those who steal from members of our community, manipulate them with fabricated schemes and misuse their identities will face significant federal consequences."
The Source: The information in this article comes from a press release from the U.S. Department of Justice.