A Mont Belvieu resident has pleaded guilty to wire fraud for his role in a Ponzi-style investment scheme, according to an announcement from U.S. Attorney Nicholas J. Ganjei.
Carl Channing Spence, 40, admitted that between January 2022 and August 2023 he operated “AEI Financial” from his home. Spence solicited investments from friends, acquaintances, and colleagues by promising returns of 10 to 12 percent through stock trading focused on so-called “meme stocks.” According to prosecutors, instead of investing the funds as promised, Spence used investor money for personal expenses and to pay earlier investors.
Authorities said Spence created fraudulent account statements showing false investment growth and returns to encourage victims to reinvest. The funds were actually pooled into a single account and much was lost in unsuccessful trades. Victims did not recover their initial investments or receive the promised profits. In total, Spence collected about $2.1 million from known victims.
U.S. District Judge Lee H. Rosenthal is scheduled to sentence Spence on April 14. He faces up to 20 years in prison and a possible fine of up to $250,000.
The case was investigated by the FBI and is being prosecuted by Assistant U.S. Attorneys Thomas Carter and Brad Gray.
