2 North Texas man gets prison in $6M diamond investment scam

Markets Associated Press

Two North Texas men have been sentenced to federal prison over what prosecutors call a more than $6 million diamond investment scheme.

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Craig Allen Otteson of McKinney was sentenced Thursday to 10 years behind bars. A federal judge in Dallas sentenced Jay Bruce Heimburger of Dallas to eight years in prison.

Otteson and Heimburger in July pleaded guilty to mail fraud. Each must also repay $4.7 million.

Investigators say more than 70 investors were scammed out of $6.4 million linked to buying and reselling diamonds on the international market. The scheme, going back to 2011, also involved fraudulently secured cash and property.

A third man, Christopher Arnold Jiongo of Houston, has also pleaded guilty to wire fraud and awaits sentencing.