15-Year Sentence for Securities Fraud Against Elderly

government actionThe Texas State Securities Board announced last week that Charles Wayne Kilway of North Richland Hills was sentenced to 15 years in state prison for fraudulent securities sales and theft of property from the elderly. Kilway allegedly stole $10,000 or more.

Kilway was also sentenced to 10 years in prison for violating the conditions of his probation following an earlier, unrelated securities fraud case. The sentences will run concurrently.

Kilway sold promissory notes for North Richland Hills-based JBS Holdings LLC. According to the motion to revoke probation, filed Jan. 22 in Dallas County, Kilway used the money he raised from the promissory notes to pay for personal and family expenses and transferred funds to his wife’s account.

Kilway didn’t tell the people who purchased the JBS notes that he had been convicted of securities fraud in 2005, a case for which he was sentenced to 10 years probation and ordered to pay $602,120 in restitution, most of which remains unpaid.