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Texas man convicted of running an $80 million Ponzi scheme

By the CNN Wire
STORY HIGHLIGHTS
  • A Texas man is convicted of running an $80 million Ponzi scheme
  • The alleged scheme involved sham investments in automatic cash tellers
  • His co-conspirator pleaded guilty in October to 10 counts
  • The defendant's attorney says an appeal is planned

(CNN) -- A Texas man charged with running an $80 million Ponzi scheme involving investments in sham automatic cash tellers was convicted by a federal jury in New York City on Monday.

Walter Netschi, 63, could face life in prison and a maximum of $2.5 million in fines, along with the forfeiture of all proceeds he received from the crime, according to a court statement from the U.S. attorney for the Southern District of New York.

His co-conspirator, Vance Moore, pleaded guilty in October to 10 counts that include wire-fraud conspiracy and wire fraud, according to the statement.

The pair convinced people across the country to invest their money in thousands of cash teller machines -- many of which they did not own, according to prosecutors.

Netschi's attorney, Beth Farber, said she and her client are disappointed in the ruling and plan to appeal.

Netschi is now awaiting sentencing.