JMJ Development’s Timothy Barton (LinkedIn, Getty)
Haoqiang Fu, an alleged associate of Tim Barton also known as Michael Fu, pleaded guilty for his role in what has been described as an investment scam involving phony land deals for residential developments.
U.S. District Judge Ed Kinkeade
U.S. District Judge Ed Kinkeade accepted Fu’s guilty plea of one count of sale of unregistered securities; a sentencing date has not been set. As a result of the plea, Fu waives the right to have the case federal prosecutors built against him presented to a federal grand jury, as well as his right to a jury trial.
Barton has pleaded not guilty to the charges and is set for a jury trial in February in Kinkeade’s court.
Given this development, there’s now a likelihood that Fu could testify against others who may have been involved in the scheme, including Barton, according to the Dallas Business Journal. Under the terms of his deal, Fu is reportedly required to give “complete and truthful” information about his participation in the alleged Ponzi scheme as part of his plea agreement with prosecutors.
Fu now faces a sentence of up to five years in federal prison followed by up to three years of supervised release. There’s also possible fines of up to $250,000, which doesn’t include the costs of any future victim restitution or forfeitures.
In the SEC suit that was filed against Barton in September, it’s alleged that Barton and his Dallas-based investment firm Carnegie…
