Wichita man sentenced for defrauding $165,000 from investors
A Wichita man was ordered Tuesday to pay back more than $165,000 in funds he had defrauded from investors, according to a news release from the office of the Kansas Securities Commissioner.
Paul C. Carageannis, 56, was sentenced Tuesday to 60 months of probation as well as repaying the misused funds to investors.
Carageannis pleaded no contest June 15 to one count of felony securities fraud under the Kansas Uniform Securities Act.
Between October 2008 and February 2009, Carageannis defrauded at least 11 Kansas investors by selling unregistered securities in an oil and gas lease, according to the release. He had lost the lease and was using the victims’ money to “pay off existing debts and for other personal uses,” according to the release.
He had paid back nearly $82,000 to the victims as a result of the prosecution as of Tuesday. On Tuesday, he was ordered to pay back the rest of the defrauded money, totaling $84,044.32.
“My office is pleased that Mr. Carageannis’s victims will see a return of most of their money,” Kansas Securities Commissioner Josh Ney said in the release. “Protecting Kansas investors and promoting legitimate business endeavors requires holding fraudulent actors accountable for their actions, as has been done in this case.”
Matt Riedl: 316-268-6660, @RiedlMatt
This story was originally published November 24, 2015 at 8:10 PM with the headline "Wichita man sentenced for defrauding $165,000 from investors."