North Texas Man Convicted in Foreign Currency Trading Scheme
SHERMAN, TX—A 47-year-old former resident of Frisco, Texas, was found guilty of federal violations in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Frank Edwin Pate was found guilty by a jury of two counts of wire fraud and one count of mail fraud following a five-day trial before U.S. District Judge Amos Mazzant.
According to information presented in court, Pate perpetrated a fraud scheme on seven individuals who invested money with Pate for the purpose of trading foreign currency on their behalf. The evidence established that seven investors gave Pate a total of over $2.6 million over a several year period for the purpose of currency trading. Instead of using the money for foreign currency trading, Pate spent a large portion of the money for his own personal expenses. Pate was indicted by a federal grand jury on Aug. 13, 2014.
Pate faces up to 20 years in federal prison on each conviction. A sentencing date has not been set.
This case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorneys J. Andrew Williams and Christopher Eason.