'False sense of security': Lehi woman sentenced in $5M fraud scheme

SALT LAKE CITY — A Lehi woman was sentenced in federal court this week to 18 months in prison and two years of supervised release after prosecutors say she defrauded investors of $5 million.

Court documents say Crystal A. Huang, 41, offered false promises to potential investors in her company ProSky, Inc., from February 2015 to February 2020. In May, Huang pleaded guilty to securities fraud and admitted to scheming to defraud investors for money and property under false pretenses, according to the U.S. Attorney's Office of Utah.

"The information Ms. Huang provided to investors was just completely false," said U.S. District Judge David Barlow, according to a news release from the U.S. Attorney's Office. "These false statements didn't just happen once or twice, but over a period of years."

Charges say Huang "would lull investor victims into a false sense of security" by saying that her company had millions of dollars in revenue and providing investors with falsified documents. There were approximately 13 investors Huang defrauded of roughly $5,025,000, court documents state.

Huang paid the court $300,000 at her sentencing hearing Tuesday and will have to pay a total of $5,025,000 in restitution, the U.S. Attorney's Office said.

"Ms. Huang had every reason and opportunity not to engage in this type of criminal conduct but chose to do so," said Assistant U.S. Attorney Mark E. Woolf in the release. "We will continue to work with our law enforcement partners to prosecute those who commit fraud within our communities."

Shohini Sinha, special agent-in-charge of the FBI Salt Lake City field office, warned potential investors to be aware of fraud, scams and deceptive practices.

"Fraudsters are masters of deception and can scam even the most sophisticated investor," Sinha said in the release. "Before handing over your hard-earned money, always independently and thoroughly research any opportunity and report anything suspicious to the FBI."

Related topics