Bethany Man Convicted In 'Ponzi Scheme' Wins Appeal For New Trial

Wednesday, August 21st 2013, 10:28 pm
By: News 9

A Bethany man convicted of scamming Oklahomans out of millions of dollars in an investment scheme won an appeal to get a new trial.

Brian McKye was set to serve a 21-year sentence in federal prison, but the conviction and sentence was reversed.

McKye was convicted last April of bilking 115 investors out of more than $4.5-million. Prosecutors claimed McKye used several businesses to market investment contracts. Those contracts guaranteed returns as high as 20-percent.

4/25/2012 Related Story: Bethany Man Sentenced To 21 Years For Ponzi Scheme

"The more he talked, the more I liked the idea," said victim, Gloria McIntyre.

$100,000 of McIntyre and her late husband's hard earned money, gone.

"I was glad they caught him and stopped him, but I still knew I wasn't ever going to see my money again," said McIntyre.

McIntyre will be 80-years-old in October, and instead of finally preparing for retirement and enjoying her 80th birthday, she'll be celebrating her 20th year working at Wal-Mart.

As much as she'd like too, McIntyre says she can't afford to quit.

"I've got arthritis, my fingers are stiff. I just dread to see it come, because I want to retire and I can't right now. I'm going to have to one day," said McIntyre.

McIntyre invested in McKye's Ponzi Scheme in 2006. About two years later, she had to file for bankruptcy, and is still having trouble making mortgage payments.

"He was convicted. He was wrong," said Trey Chancellor. "Just serve your time."

It's the same story for Trey Chancellor. He invested his entire retirement fund. Nearly $30,000.

"He was guilty. I don't see why we have to try it over," said Chancellor.

"Oh I can't believe it," said Trey's wife, Judith. "I absolutely can't. $4-million. What kind of attorney's are overturning $4-million worth to 115 people?"

"I think he deserves life in prison," said McIntyre.

Officials say McKye wasn't a registered investment advisor in Oklahoma, and was using the money to pay his personal and business expenses.

A spokesperson with the U.S. Attorney's office says they're trying to determine the next step. Tuesday, the appeals court found the jury had not been properly instructed on whether investment notes were securities.