WASHINGTON (KXAN) — The U.S. Department of Justice announced Monday the guilty plea of a Texas man for wire fraud done over social media platforms.
Kelvin Ramirez, 25, from Houston, pleaded guilty to defrauding investors by “falsely promising high rates of return and low or no-risk returns on foreign exchange investments,” a press release from the DOJ said.
The DOJ said Ramirez portrayed himself as a successful trader of foreign exchange investments, known as “forex,” and used Instagram as a means to falsely portray his role as a broker. He falsely promised high returns on investments and made false representations of the risk involved.
The DOJ said Ramirez “fraudulently obtained more than $650,000 from over 100 individuals, and then used investors’ funds for personal expenses.”
With his guilty plea, Ramirez faces a maximum prison sentence of 20 years, and he agreed to pay restitution to victims totaling $687,792.93. A federal court will determine any further sentencing. The sentencing hearing is Nov. 9.
The FDIC’s Office of Inspector General along with the FBI are investigating the case. Those who think they may have been another of Ramirez’s victims should contact the DOJ immediately.