Jury convicts senior scam artist

By: KXII-Staff Email
By: KXII-Staff Email

SHERMAN, Tex.--A Denison man is convicted for an investment scheme targeting seniors. A Grayson Cunty jury found 72-year old Fred Otto Delin guilty of scamming the elderly by selling investments from a fake company.

He claimed the investments were safer than a savings account and that he received no commission.

In reality, prosecutors say he was investing their money into a fake company, set up by a man on federal parole. Delin reportedly took some of that money for himself. We're told he made about $12 million dollars total, including more than $208,000 in commission.

Prosecutors say Delin did what’s called a “Ponzie scheme.” For example, if one person gave $10,000, Delin kept it for himself. The next $10,000 he received from someone else, he would invest. The money troubles lie when there are no more investors.

Texas State Securities Commission officials say they got wind of the scam, when someone showed them the brochure Delin used to acquire clients. Within five minutes they say they knew it was a scam, and immediately broke up the company. Gerald Rogers, the man who owned the fake company, was sentenced to federal prison until 2015.

Prosecutors say to be on the lookout for similar schemes.

"The best thing to do is number one, don't be hasty and number two, take these materials and these claims to people that will know whether they're legitimate: a tax attorney, a cpa, or the State Securities Commission," said Kerye Ashmore, Asst. Grayson District Attorney.

Securities Commission officials also say if the invitation luncheon has an age restriction, that’s usually a red flag. Officials say scam artists place the restrictions so undercover investigators cannot enter. Usually, most investigators have retired from the profession before they reach the age limits the scam artists place.

District judge Jim Fallon is scheduled to sentence Delin on November 16th. He could face up to life in prison.


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  • by KAREN Location: OKLAHOMA on Oct 15, 2007 at 08:55 AM
    Kathy - no planks sticking out of my eye. I don't ripp off my Elders, or my freineds, or enemies, or people I don't know. Remember "he made about $12 MILLION dollars total, including more than $208,000 in commission." I have had tragic things happen to me - but I still didn't "make about 12 million" from the situation. I am careful about this life journey. Care to not ripp-off, mislead children or adults, lie, cheat, steal. Karma is just what we make it! karensopinion@gmail.com
  • by KAREN Location: OKLAHOMA on Oct 15, 2007 at 07:39 AM
    He conned old people out of their money - read the 3rd paragraph - "In reality, prosecutors say he was investing their money into a fake company, set up by a man on federal parole. Delin reportedly took some of that money for himself. We're told he made about $12 million dollars total, including more than $208,000 in commission." Notice the sentence that states "he took some of the money for himself." A nice person doesn't do that. I know - it might be hard to reaize that a family member or friend is a theiving jerk. But we all have to face reality. karensopinion@gmail.com
  • by Chris Location: Denison on Oct 15, 2007 at 06:07 AM
    Donna- I do know the facts. I work in the justice center. Face reality.
  • by That Girl Location: Bryan County on Oct 12, 2007 at 12:21 PM
    Having faced a tradegy in your life does not allow you to steal money from anyone. To con a senior citizen out of their live savings is just cruel. This man may not be a jerk, but he certainly isn't a very good person. I am sure that his side of the story is very convincing, but then again look at the source. He is a con man. Maybe he is a jerk.
  • by Kathy Location: Denison on Oct 12, 2007 at 09:53 AM
    I was completely shocked by this story this morning myself....I DO KNOW this man, and David and Donna are right; there surely is more to this story than what was presented and how it even happened. A word to Chris and Karen; be careful throughout YOUR life journey; may you be so protected as to NEVER have ANYTHING tragic happen to YOU.... most of us are not that lucky. It's life. and oh by the way, is that a PLANK sticking out of your eye???
  • by David Location: Pottsboro on Oct 12, 2007 at 08:29 AM
    This man made some bad decisions, but if you knew him, you would not think he was a jerk. He has done a lot of selfless acts and does not have a history of being a shady person or a scam artist. I feel terrible for ALL those involved.
  • by Donna Location: Sherman on Oct 12, 2007 at 08:23 AM
    I know we should all believe in EVERYTHING WE HEAR AND READ... RIGHT?? You did not hear his side of the story and to make a comment that he is a jerk because we all BELIEVE what we read right. Judgement is not your call, and I believe in his innocense and praying for an appeal
  • by KAREN Location: OKLAHOMA on Oct 12, 2007 at 07:51 AM
    Has a nice smile for someone facing life in prison. I agree Chris - what jerk.
  • by Chris Location: Texoma on Oct 12, 2007 at 06:07 AM
    What a jerk!!
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