Craig C. Garrick, Jr., 42, of Alpine, Utah, was ordered to serve 12 months and one day in federal prison at a hearing on February 10, after being convicted of securities fraud in federal court. Garrick previously pleaded guilty to securities fraud in October of 2020.
Garrick admitted in the plea agreement, that from 2019 to 2020, he induced victims to invest at least $450,000 in his company without disclosing the fact that he was serving a probationary sentence for felony charges of mortgage fraud arising out of the Utah State Courts. Garrick also admitted that that he planned to use, and did use, investment money for his own benefit and living expenses; that he knew it was illegal to fraudulently take money from investors; to make a misrepresentation or an omission of a material; and to engage in conduct that operates as a fraud or deceit upon a person, in connection with the purchase or sale of securities.
Garrick was sentenced Wednesday by District Court Judge Dale Kimball, who ordered $450,000 in restitution to the victims but noted Garrick had already arranged for the victims to be repaid prior to sentencing.
“It is all too common for fraudsters to claim they are raising money for a business venture, when in reality, they are lining their pockets with the hard-earned savings of Utahns,” said United States Attorney John W. Huber. “Unfortunately, con artists excel at preying on the trusting nature of Utahns. Remember that talk is cheap, and it is of the utmost importance that investors in Utah do their due diligence before investing their hard-earned money with anyone.”
“Fortunately, Mr. Garrick’s victims were able to recoup their money, but that’s not often the case. Investment fraud victims are usually left financially and emotionally devastated,” said Acting Special Agent in Charge Robert Meacham of the Salt Lake City FBI. “The FBI is committed to holding people accountable for financial crimes. As fraudsters are known to re-offend, we also encourage the public to do their due diligence when looking to invest and report any suspicious activity to the FBI.”
Assistant U.S. Attorneys in the Utah U.S. Attorney’s Office prosecuted the case. Special agents of the FBI conducted the investigation.