A 61-year-old contractor from Victoria, Michael Wayne Galvan, has pleaded guilty to conspiracy to commit wire fraud. The announcement was made on September 26 by U.S. Attorney Alamdar S. Hamdani.
Operating under MWG Ventures LLC, also known as MGB Builders, Galvan fraudulently obtained over $2.8 million from at least six private investors. Notably, he targeted potential victims while serving as vice president of the Houston Livestock and Rodeo Organization, as detailed in the press release.
Between February 2016 and March 2018, Galvan used his association with the rodeo to approach individuals, many of whom held leadership roles. He solicited short-term loans, promising returns of 10 to 12 percent through his contracting business. Galvan falsely claimed that he would use the funds to purchase exotic tiles and granite from China and other international sources.
During his plea before U.S. Magistrate Judge Rick Bennett, Galvan acknowledged that he did not utilize the funds as promised. His fraudulent scheme fell apart once he depleted his list of victims and available money, ultimately defrauding them of approximately $2.8 million.
U.S. District Judge Charles Eskridge is scheduled to impose sentencing on December 5, where Galvan could face up to 20 years in federal prison and a maximum fine of $250,000, along with full restitution to his victims. He has been allowed to remain on bond pending the sentencing hearing.