A 54-year-old man from Los Angeles County could face up to 20 years in prison after conning investors out of nearly $1.2 million by promising an ownership interest in several adult entertainment webcam websites and then using those funds to cover personal expenses and fund an exorbitant, luxurious lifestyle, federal officials announced Monday.
Prosecutors say that between Nov. 2009 and Oct. 2016, Montrose resident Patrick Khalafian solicited investments for three limited liability companies that purportedly developed and operated adult entertainment websites.
The 54-year-old claimed the victims’ investments would be used for operating the business, developing software, paying for computer servers, hiring employees and purchasing advertising.
“He also falsely promised that the victims would be repaid for their investments by a specific date, that they would receive ownership interests in the companies, and would receive a share of the companies’ profits,” a