NASHVILLE, Tenn. (AP) -- A Franklin businessman who bilked millions from investors in a Ponzi scheme will spend the next six years in a federal prison.
Jerry Martin, U.S. Attorney for the Middle District of Tennessee, announced on Tuesday that 30-year-old Barron Mathis was sentenced to serve 72 months in prison and ordered to pay $2.8 million in restitution.
Mathis is the former vice president and portfolio manager of the now-defunct Franklin-based financial services firm J.C. Reed & Co.
Federal prosecutors say that between 2006 and 2008, Mathis helped devise a scheme to defraud investors.
Mathis convinced clients, friends and acquaintances that the company stock was growing, in spite of knowing that it was artificially inflated.
Many of the victims who lost money were elderly and unsophisticated investors.
(Copyright 2011 by The Associated Press. All Rights Reserved.)
To comment, the following rules must be followed:
Comments may be monitored for inappropriate content, but the station is under no legal obligation to do so.
If you believe a comment violates the above rules, please use the Flagging Tool to alert a Moderator.
Flagging does not guarantee removal.
Multiple violations may result in account suspension.
Decisions to suspend or unsuspend accounts are made by Station Moderators.
Questions may be sent to firstname.lastname@example.org. Please provide detailed information.