A self-proclaimed pastor from Houston ran a religious-themed investment program that turned out to be a scam and has led him to be charged with 24 counts of fraud, according to reports.
Samuel Ray Palasota, 52, has been charged with 21 counts of mail fraud and three counts of wire fraud. Palasota is expected to appear before U.S. Magistrate Judge Nancy Johnson at 2:00 p.m. on Thursday, KTRK news notes.
The unfortunate real estate scheme even cost a Mississippi woman $650,000 who received the money from a $1 million divorce settlement. The indictment indicates he provided the woman with an investment schedule that claimed the minimum rate of return would increase by five percent for every additional $100,000 she invested, up to a maximum of $650,000. Palasota went on to use the money on himself and none of it went to the investment program.
According to the indictment, Palasota deceived people into believing he was a pastor and also claimed to manage a real estate investment program, doing business under the name "The Maker's Resources."
If convicted, Palasota faces a possible 20 years in prison and a maximum $250,000 fine for each of the 21 counts of mail fraud and the three counts of wire fraud. The indictment also includes a notice of forfeiture in the amount of $650,000, according to the report.
The case in being investigated by the FBI. Assistant United States Attorney Robert S. Johnson is prosecuting the case.
