SALT LAKE CITY — A man authorities described as a "classic example of a Utah fraudster" has been sentenced to 60 months in federal prison after admitting to defrauding victims out of more than $10 million.
Back in July, Thomas Robbins, 65, of Heber City plead guilty to securities fraud and money laundering for his part in a scheme that drew 66 investors into a fake foreign currency day-trading business.
Robbins lied to prospective investors, telling them he had developed an algorithm for foreign currency trading that saw average returns of up to 30 percent per month. Robbins also told people he had previously worked for a German bank and investors would never lose more than 5 percent of their equity.
In the plea agreement, Robbins admitted to making false representations and that he was not "providing a legitimate investment."
Robbins lost almost all of his investors' money and used what was left on personal living expenses.
“Thomas Robbins is a classic example of a Utah fraudster. He is a repeat offender who bilks trusting investors out of their hard earned savings while exploiting their trusting nature,” said United States Attorney John W. Huber. “Like-minded swindlers should take note that they are on the radar screen, and we will hold them accountable. For Utah investors, we strongly encourage healthy skepticism and due diligence before parting with your money.”