RAPID CITY (AP) - A former Rapid City investment adviser faces up to 23 years in federal prison after pleading guilty to defrauding clients of more than $4 million and evading income taxes.
Mike Lundy admitted to convincing clients to put money in a fake investment company, then placing the money in his bank account. Lundy was a registered investment adviser at the time and a commissioned representative of Primerica, a North American financial services firm.
The Rapid City Journal reports Lundy says he used some of the money for personal expenses, including payments for home remodeling, vacations and a new Jeep. He collected a total of $4.2 million from about 80 investors.
Lundy's sentencing is scheduled for May 19 at the federal courthouse in Rapid City.
