However, the investors did not receive the promised $75,000 and no money ever went into a mutual fund. Instead, the title company used the extra money to pay a prior debt of Wright's and issued funds to Hurst, who then put the money in a diamond scheme.
The investors were never told that Wright had three unpaid judgments against hin totalling $327,000 and he owed the state $56,000 in delinquent income taxes.
Utah Attorney General Mark Shurtleff said, "This case is a stark reminder that unscrupulous promoters will use real estate investment or any other topic in the headlines to take money from investors by using false promises."
Those who wish to check out investment opportunities may call the Utah Division of Securities at 801-530-6600.
The victims in this case have been paid full restitution.