Mission Viejo resident Francisco “Frank” Hobson, 39, has pleaded guilty to taking $2.3 million-plus from investors in a real estate investment fraud.
As part of his plea agreement for wire fraud, Hobson must repay his victims at least $1.5 million, according to federal prosecutors.
According to court records, Hobson operated his “business” between December 2010 and June 2016 and promised the victims their money would be used to purchase properties. In fact, the properties were either not for sale or didn’t exist and the documents Frank Hobson provided were fraudulent or forged.
Hobson used the victims’ money to buy groceries, travel and for laser-hair removal and plastic surgery, according to court records.
“The defendant made simple promises to his victims, promises he never intended to fulfill,” said U.S. Attorney Eileen M. Decker in a statement. “The defendant then used his victims’ hard-earned money to fund his personal lifestyle.
Read the original article in the Orange County Register or the press release by the U.S. Attorney for the Central District of California.