South Carolina businessman sentenced in $1M fraud scheme

COLUMBIA (AP) - A South Carolina businessman has been sentenced to federal prison for scheming investors out of more than $1 million.

The State newspaper reported U.S. District Judge Cameron McGowan Currie sentenced Wade Caughman on Wednesday to nearly three years in prison on fraud and money laundering charges.

Caughman pleaded guilty in August. Prosecutors said during a five-year period, the Columbia developer persuaded at least five local investors to put more than $1 million into a venture he said would buy luxury cars, telling the investors they would make profits off the sales.

Authorities said Caughman printed phony sales documents, car insurance binders and a counterfeit financial letter.

Officials said Caughman has paid more than $200,000 back to the investors he cheated but still owes more than $800,000.