A Stephenville insurance broker who used investor money to fund a lavish collection of exotic vehicles is now heading to federal prison after being sentenced to 13 years following a guilty plea on wire fraud and aggravated identity theft charges.
Clayton Iley, 41, began his scheme in 2020 by selling fake annuities he falsely claimed were connected to the Department of Defense. He then funneled the stolen funds into purchasing high-end vehicles including a Lamborghini, Maserati, Dodge Viper and Porsche while opening between 10 and 20 fraudulent lines of credit in his victims’ names.
More than 70 North Texas residents were defrauded in the scheme. Some victims were forced into bankruptcy and continue fighting to restore their credit ratings.
U.S. Attorney for the Northern District of Texas Ryan Raybould said the cars on display in a North Texas garage represent stolen wealth. “These cars do not belong to the defendant and they were paid for by lying to investors” Raybould said during a recent press briefing.
Federal authorities seized approximately 90 vehicles connected to the case. The U.S. Marshals Service currently holds between 35 and 40 of those vehicles while the remaining cars were surrendered to banks that held equity interests in them.
United States Marshal Sean Malecha confirmed that the FBI arrested Iley while his office handled the vehicle seizures. A restitution order exceeding six million dollars has been issued on behalf of the victims.
Many of the seized vehicles are expected to be auctioned off. Proceeds from those sales will be distributed to victims or to the law enforcement agencies that assisted in the investigation depending on the terms of the court order.
Iley abused his position as a licensed insurance broker to gain the trust of everyday investors across the region. Raybould described the impact as deeply personal for the victims saying it happened to real people all across North Texas.
The case was prosecuted by the U.S. Attorney’s Office for the Northern District of Texas with support from the FBI and the U.S. Marshals Service. The exotic vehicles that once symbolized the fruits of Iley’s fraud are now set to be converted into restitution for those he deceived.