Authorities in Texas have arrested Phillip Michael Carter for fraud. Carter, a North Texas real estate developer, is accused of raising $17.5M from investors in the state who thought their money was going toward development projects. His victims included older investors. The Texas State Securities Board announced his arrest.
Carter’s wife, Shelley Noel Carter, also faces investor fraud and money laundering charges. Another man, Richard Gregory Tilford, who was indicted earlier this month in Collins County, is charged with selling about $5M in fraudulent real estate investments from investors. He allegedly did not tell investors that he was a convicted felon who had pleaded guilty to not submitting a tax return several years ago.
Carter owns North Forty Development and Texas Cash Cow Investments. He and Tilford purportedly told investors their money would be put into residential and commercial property development. Instead, Carter allegedly used their funds for: