A Houston resident who cheated a friend in a phony real estate development deal has been sentenced for wire fraud.
Walter Salek pleaded guilty April 5 to his involvement in a scheme to obtain more than $1 million and falsely informing an investor the funds would be used to develop real estate. Between 2019 and 2021, Salek entered into agreements with a friend to develop real estate in the Houston area. As per the agreement, Salek was to contribute real estate and his friend was to provide cash to develop the properties. Once developed, properties were to be either leased or sold.
The friend deposited over $1 million into business bank accounts that Salek controlled through use of interstate wire communications. However, Salek diverted at least $571,000 of the investment funds for his own personal use on mortgage payments and luxury vacations. Salek’s victim later testified the worst part of his loss was not the fraud, but that Salek betrayed his trust by taking his money when Salek knew the victim’s wife was dying and leaving him with three children to raise.
U.S. District Judge Sim Lake ordered Salek to serve 15 months in federal prison, immediately followed by three years of supervised release. He must also pay the victim $571,000 in restitution.
“Walter Salek committed clear-cut fraud, lived a care-free life until he got caught and will now spend time in federal prison for his crime,” said Special Agent in Charge Douglas Williams of the FBI Houston field office. “Salek took advantage of a friend’s long-time trust and money to invest in his fraudulent property ventures. He let his personal greed supersede that friendship and any potential opportunity for lawful prosperity.”
Salek was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
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What the H€££⁉️ … 15 months⁉️ … THAT’S CRIMINAL in and of itself‼️
This is awful. A “BREACH of TRUST” Good Real Estate Agents are fighting a Nationwide Suit that was Settled with the National Association of Realtors recently. This type of behavior only adds to the reason why the PUBLIC at large does NOT TRUST the Real Estate Professional as a whole. The Agent at BEST must REFUND all of the proceeds that he stole from the Victim and his children.
This is awful. Good Real Estate Agents are fighting a Nationwide Suit that was Settled with the National Association of Realtors recently. This type of behavior only adds to the reason why the PUBLIC at large does NOT TRUST the Real Estate Professional as a whole. The Agent at BEST must REFUND all of the proceeds that he stole from the Victim and his children.