Utah woman pleads guilty to running $5M securities fraud on investors

A Utah woman pleaded guilty Tuesday to securities fraud and admitted she devised a scheme intended to defraud investors and obtain money and property, under false pretenses, to benefit her company, ProSky Inc.

According to court documents, Crystal A. Huang, 41, of Lehi, admitted she knowingly offered investments in her company, ProSky Inc., by providing false promises to potential investors. From February 2015 through February 2020, in the District of Utah and elsewhere, Huang would lull investor victims into a false sense of security about their investments by claiming her company, ProSky Inc., had millions in recurring revenue, when in fact it did not.

She further supported her false claims by providing investors with falsified balance sheets, profit and loss statements, bank account statements and customer lists. During her scheme to defraud, Huang obtained approximately $5.025 million from approximately 13 investors and communicated via email, telephone and through an online database. In one transaction, Huang caused a wire transfer of $750,000 to ProSky Inc. via interstate commerce.

Huang is scheduled to be sentenced on August 15, 2023, at 2:00 p.m. in courtroom 8.1 before U.S. District Court Judge David Barlow at the Orrin G. Hatch United States District Courthouse in Salt Lake City, Utah.

U.S. Attorney, Trina A. Higgins, of the District of Utah made the announcement.

The case is being investigated by the FBI Salt Lake City Field Office, Provo Resident Agency.

Assistant U.S. Attorney Mark E. Woolf of the District of Utah is prosecuting the case.

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Original text here: https://www.justice.gov/usao-ut/pr/utah-county-woman-pleads-guilty-committing-5m-securities-fraud-investors