Charlotte man sentenced in fraud scheme

45-year-old John Reid Perkins was sentenced Monday, February 9, by U.S. District Judge Max O. Cogburn, Jr. to serve 64 months in prison followed by 3 years of supervised release. According to the U.S. Department of Justice Perkins was charged on securities fraud conspiracy charges and for violating the terms of his supervised release stemming from a previous federal conviction. Perkins was also ordered to pay $805,150 as restitution for pleading guilty in September 2013 to one count of securities fraud conspiracy.

Perkins' conspirator, 51-year-old Terry Wayne Grady was sentenced in December 2014 to 57 months in prison and 3 years of supervised release for his role in the conspiracy and ordered to pay $3,076,411.34 in restitution to his victims.

According to filed court documents and court proceedings 2006 to 2008 Perkins worked with Gandy and others and tricked victims into investing in a fraudulent real estate investment scheme. Perkins owned and operated "Master Home Solutions," a company that allegedly purchased remodeled, renovated and resold foreclosed homes. Perkins would make victims believe he was investing their money in real estate projects through MHS. Perkins, Gandy, and other would use that money instead to support their lifestyles.

According to court documents Perkins and his conspirators also used new victims' money to make payments to old victim-investors, known as "Ponzi" payments. They further lied to victims, falsely telling them their money was tied up in investments with specific "maturity periods."

According to the U.S. Department of Justice in 2007, Perkins was convicted on federal conspiracy, identification document fraud, wire fraud and aggravated identity theft charges and served 33 months in prison. He received a 5 year period of supervised released in November 2010. Perkins violated his conditions by engaging in unauthorized travel and defrauding a victim of $125,000 in a sham tugboat sale and Judge Cogburn revoked his supervised release.

Perkins was taken to federal custody following the sentencing hearing. He will be taken to the Federal Bureau of Prisons upon designation of a federal facility with no possibility of parole.