61-year-old Anchorage resident Donald Lee Smith was sentenced yesterday by Senior U.S. District Court Judge Russell Holland to 37 months in prison for one count of Wire Fraud and one count of Money Laundering.

Indicted by a Grand Jury in December of 2011 on 12 counts of Mail and Wire Fraud as well as one count of Money Laundering, Smith preaded guilty to the single counts of Wire Fraud and Money Laundering on August 6th, 2012. When Smith entered his plea he admitted to taking over $300,000 from his victims in 2007 and 2008 by making intentionally false representations about investment opportunities. Smith used the money taken from the investors to gamble in casinos instead.

After bilking his victims, Smith transferred their funds from Anchorage to Oklahoma, where he moved and withdrew and/or transferred the funds to other accounts.

“Defendant Smith took advantage of the trust of his victims. The three year sentence imposed demonstrates the seriousness of his criminal conduct. We will continue to work with our law enforcement partners to protect victims of financial fraud and rigorously prosecute those who seek to steal the savings of others through fraudulent schemes” stated U.S. Attorney Karen L. Loeffler.

Smith was ordered to pay $316,150.58 in restitution in addition to his prison sentence. He was credited with paying $25,000 at the time of his sentencing.

Smith was also ordered to three years of supervised release folowing his prison term.