HOUSTON — A former vice president of the Houston Livestock Show and Rodeo could be going to prison after pleading guilty to wire fraud.
Michael Wayne Galvan, 61, was arrested last October on charges he fraudulently obtained nearly $3 million from investors while working as a high-end contractor.
The feds say Galvan used his position with the rodeo to find victims, including at least two other HLSR leaders.
Galvan convinced investors to give him short-term loans by offering them the opportunity to earn 10 to 12 percent interest through his contracting business MGB Builders.
Galvan falsely claimed he would use the money to purchase exotic tiles and granite from China and other overseas countries for his construction business. Instead, he used some of the money to repay loans and interest to other lenders.
The scheme unraveled when he ran out of victims and money.
U. S. District Judge Charles Eskridge will sentence Galvan in December. He faces up to 20 years in federal prison and a possible $250,000 maximum fine as well as full restitution to his victims.
The FBI conducted the investigation.