SHERMAN, Texas — A Grayson County jury awarded a $728,000 judgment on Tuesday against former Denison city councilman Michael Wright, in a case that spotlighted allegations of investment and securities fraud linked to his business, Wright Drilling and Exploration.
The verdict, confirmed after a week-long trial and six hours of jury deliberation, concluded a legal battle that began three years ago when investors accused Wright of mismanaging their funds, leading to significant financial losses under the guise of profitable oil and gas investments.
Fernando Bustos, representing the aggrieved investors, lauded the jury’s decision as a difficult but necessary achievement. “This case demanded immense persistence and dedication to bring to trial, and we are immensely gratified that justice was served with this substantial award,” Bustos stated.
Investors initially believed they were funding ventures in oil and gas wells spread across multiple states. However, Bustos revealed in court that Wright was instead diverting their investments for personal luxuries. “The evidence displayed how he extensively misused the funds for personal extravagances. From purchasing high-end items at Louis Vuitton and Tiffany’s to enjoying leisure at the Roosevelt Hotel in New York and buying Dallas Cowboys tickets,” Bustos said.
The legal team for the investors detailed how Wright’s luxurious spending was as rapid as the money came in, a clear sign of his disregard for the fiduciary duties owed to the investors. Some of these investors had entrusted him with sums up to several hundred thousand dollars, none of which was recovered.
Throughout the trial, the focus was on the deceptive tactics employed by Wright and the fiscal mismanagement that ensued. According to Bustos, “The case centered primarily around the false promises made by Wright and the blatant misappropriation of the investors’ money.”
The unanimous ruling on all claims puts Wright responsible for the full judgment amount, which, including attorney fees, could exceed one million dollars, according to Bustos.
Attempts to reach Wright for a response have been unsuccessful, with repeated calls and emails left unanswered.
This judgment highlights a significant breach of trust and fraudulent behavior in investment operations, particularly within smaller communities where such betrayals deeply impact local investors. It also serves as a cautionary tale about the vigilance needed when entrusting funds to seemingly reputable individuals in high-stakes investment opportunities.