Ex-Repairman Gets 16 Years for Multimillion-Dollar Scam

A former machine shop repairman who swindled nearly $20 million out of hundreds of Southern Californians through a bogus stock scheme -- then spent the money on houses, luxury cars, a face lift and tummy tucks for him and his wife -- has been sentenced to 16 years in prison.

Jerry Anthony Womack, 54, of Las Vegas also was ordered by U.S. District Judge David O. Carter in Santa Ana to pay more than $6 million in restitution to victims, most of them from Ventura and Los Angeles counties.

Womack has been in custody since his trial ended two years ago and he was convicted of three counts of wire fraud, seven counts of mail fraud and four counts of money laundering. His prison term, imposed Monday, is the maximum for those charges.

“I think the victims are as happy as they can be,” said Assistant U.S. Atty. Christine M. Adams, the lead prosecutor in the case, pointing out “they’ll never see their money again.”

“It’s just sad that the money that went into this went to his-and-her tummy tucks,” Adams added. “It’s just egregious.”

Womack’s attorney could not be reached for comment.

Evidence presented at his trial showed he duped about 400 investors by promising them huge profits through a trading formula he called the Womack Dow Principle. To help win their trust, he held seminars across the country to boast of the formula’s success.

Instead, in a Ponzi scheme, Womack used funds from new investors to pay earlier investors.