Austin man defrauds investors out of millions in hotel investment scheme

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Austin man defrauds investors out of millions in hotel investment scheme
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An Austin man who led a hotel investment fraud scheme for six years that resulted in property losses of over $5 million will have to pay those funds back and spend 70 months in prison, according to the Department of Justice.

AUSTIN, Texas — An Austin man who led a hotel investment fraud scheme for six years that resulted in property losses of over $5 million will have to pay those funds back and spend 70 months in prison, according to theJason Michael Schubert, 47, owes $5,052,366.92 for his misappropriation of hotel investor funds. Court documents show that he ran the scheme from 2012 until June 2018, using his “Rich in Five” seminars to overcharge attendees and pick out investors for his scam.

Schubert solicited money from investors for preexisting hotels that he said needed renovations, given their old state. He claimed to investors that they’d make a profit with little to no involvement. According to DOJ, Schubert had no hotel management experience, but was somehow managing multiple hotel properties.

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