A man from Orange County, Brett Barber, has been sentenced to more than 15 years in federal prison for running fraudulent investment schemes that took millions of dollars from unsuspecting investors, including many elderly people. Barber, 45, convinced people to invest their savings by promising large returns through real estate deals that were, in reality, completely fake.
Fraudulent Schemes and Fake Promises
From 2019 to 2021, Brett Barber used his company, BNZ Capital, to trick people into thinking they were investing in profitable real estate projects. Barber, along with his accomplices, told investors that their money would be used to buy and flip houses for profit. They promised returns as high as 10% and assured investors their money was safe, even claiming it was insured by the government.
However, the truth was far different. Brett Barber and his team did not actually buy or flip any real estate properties. Instead, they used the money to line their own pockets, buying expensive homes and paying off previous investors. Barber even used the money to pay for his personal living expenses, keeping nearly $3 million for himself.
Illinois Man Scott Sentenced to Over 5 Years for Massive Bank Fraud Scheme
While the company did purchase some properties, it never followed through on the promise to develop or sell them. Instead, the money from new investors was used to pay old investors, creating a classic “Ponzi scheme.” As a result, over $13 million was collected from investors, but many of them lost their life savings. The actual losses to investors were estimated at around $7 million.
Second Fraudulent Scheme
After authorities began looking into Brett Barber’s first scheme, he launched another one. In 2021, Barber started a new company called National American Capital (NAC). This company promised to do the same thing—invest in real estate and flip properties for profit. But just like the first scheme, NAC never had any real estate deals or projects to show.
In fact, when Brett Barber met with a potential investor in 2021, he made up lies about his business, claiming his company had been around for 20 years and owned properties in high-end locations like Laguna Beach. None of this was true. Barber promised huge returns, but in reality, he was just looking for new investors to pay off the old ones. This second scheme cost investors another $3.5 million, with Barber keeping about $388,000 for himself.
Failure to Follow Court Orders and Arrest
Brett Barber’s fraudulent activities came to an end when he was indicted by a federal grand jury in 2021. After his arrest, he was released on bond, but he failed to follow the rules of his release. In January 2023, a judge ordered him to surrender to federal authorities, but Barber disobeyed the order. He was eventually found and arrested in Santa Cruz County in March 2023 and transferred to federal custody.
Jose Goyos and Co-Conspirators Behind Massive $67M Health Care Fraud
Brett Barber’s actions were not only a financial crime but also caused significant harm to many victims, including elderly individuals who were particularly vulnerable. The court emphasized the emotional and financial toll on these victims, who trusted him with their retirement savings.
Brett Barber pleaded guilty to wire fraud and criminal contempt in 2023. He was sentenced to 181 months in federal prison, which is more than 15 years. The court also set a restitution hearing for January 2025, meaning Barber may have to repay some of the money he stole from his victims.
In addition to Barber’s sentence, one of his accomplices, Louis Zimmerle, was also convicted and sentenced to probation. Zimmerle was ordered to pay restitution, though the case involving Barber and his companies is still ongoing.
The case was investigated by the FBI and involved assistance from the U.S. Securities and Exchange Commission (SEC), which has also filed separate charges against Brett Barber and his companies.
