This is an archived article that was published on sltrib.com in 2016, and information in the article may be outdated. It is provided only for personal research purposes and may not be reprinted.
A federal judge sent a St. George man to prison on Thursday for nine years and ordered him to pay $12 million in restitution to investors who had fallen for his pitch that he was making highly profitable real estate financing deals.
U.S. District Judge Dee Benson sentenced Edmund Edward Wilson on his guilty plea to charges of wire fraud and money laundering. In exchange for the plea, 30 other charges were dropped.
Wilson admitted that he made a number of false statements to investors.
Wilson offered to finance real estate projects for up-front fees of $80,000 or $150,000 through an investment deal he called his "Substitution of Collateral Program." He claimed the program was so profitable that the project financing would be entirely forgiven in 18 months in return for a stake in the project.
However, Wilson never provided any financing and used much of the fees for personal expenses, according to a 2013 indictment.
Late in the scheme, which ran from 2005 to 2012, Wilson allegedly told his investors or potential ones that he could arrange financing of their development through a wealthy partner in Asia known as "the General" who had access to millions of dollars in U.S. currency. Investors also were told the money was to be moved to the U.S. as part of an unofficial economic stimulus program in cooperation with the FBI and Department of Justice.
Wilson and his wife, Mary, filed for bankruptcy in 2012, listing debts of $13.8 million, and assets of $21,560.