- Texas man sentenced to 40 years for $12 million fraud scheme: Kota Youngblood, 52, posed as a special operations veteran to defraud 32 victims over a decade, exploiting their fears of drug cartel threats.
- Youngblood fabricated a military background, claiming service in the 82nd Airborne Division and Delta Force, and used fake audio recordings and “collateral” items to add credibility.
- Youngblood convinced victims, including parents from his son’s hockey team, that their families were under threat, extorting hundreds of thousands of dollars from each.
- A victim’s cooperation led to Youngblood’s arrest; he was convicted on wire fraud and money laundering charges and ordered to pay $12.76 million in restitution.
- The 40-year sentence highlights the consequences of exploiting trust and fear, offering hope for victims to recover from the emotional and financial devastation caused by Youngblood’s schemes.
A Texas man who masqueraded as a highly trained special operations veteran to defraud dozens of victims out of more than $12 million was sentenced to 40 years in prison this week. Kota Youngblood, 52, also known as Saint Jovite Youngblood, preyed on unsuspecting individuals by convincing them that Mexican drug cartels were targeting their families, offering his protection in exchange for exorbitant sums of money.
Youngblood’s elaborate scheme, which spanned over a decade, began with a web of lies about his military background. He claimed to have served 22 years in the Army’s 82nd Airborne Division and Delta Force, a highly classified and elite special operations unit. However, FBI investigators found no evidence of his military service, exposing his claims as nothing more than a facade to build credibility with his victims.
The con artist’s tactics were both manipulative and sinister. He targeted individuals from his son’s hockey team, exploiting their trust and relationships to gain access to their finances. One victim, who had known Youngblood for six years, testified that he was drawn into the scheme after Youngblood claimed his ex-wife was involved with a drug cartel and had hired a hitman to kill him. The victim, terrified by the fabricated threats, wrote checks totaling over $230,000 to Youngblood for protection.
Youngblood’s schemes were not limited to one victim. He defrauded 32 people, many of whom were terrorized into believing their families were in imminent danger. He used intermediaries to conceal his activities, avoiding phone calls or emails that could leave a paper trail. Instead, he orchestrated in-person meetings, often presenting himself as a savior who could shield his victims from the fictional cartel threats.
Elaborate scam preyed on people's fears using their respect for veterans
To add legitimacy to his lies, Youngblood claimed to have connections within the National Security Agency and even provided fabricated audio recordings of cartel members plotting hits. He also offered victims “collateral” in the form of sports memorabilia, antique clocks, and other items he claimed were valuable, further ensnaring them in his web of deceit.
However, the truth about Youngblood’s activities was far less glamorous. Instead of using the millions he extorted to protect anyone, he gambled the funds away in Las Vegas casinos. His victims, many of whom lost their livelihoods and were left emotionally and financially devastated, were left to pick up the pieces of their shattered lives.
The FBI’s investigation into Youngblood’s crimes began after one of his victims, Eric Perardi, reported him to federal authorities. Perardi, an Austin-area developer, had paid Youngblood nearly $900,000 over several years, believing his family was under threat. After wearing a wire to record Youngblood’s admissions, Perardi helped the FBI build a case against the fraudster.
Youngblood’s trial in April resulted in his conviction on four counts of wire fraud and one count of money laundering. The 40-year prison sentence handed down this week reflects the gravity of his crimes. In addition to his incarceration, Youngblood was ordered to pay full restitution of $12.76 million to his victims.
U.S. Attorney Jaime Esparza described Youngblood’s actions as “elaborate, deceitful misrepresentations” that destroyed the lives of dozens of individuals. “This fraudster developed close relationships with his victims, building immense trust only to exploit it for his own gain,” Esparza said. “It is my hope that the families impacted by his schemes can begin to repair the losses they have suffered.”
Youngblood’s case serves as a stark reminder of the dangers of unchecked greed and the lengths to which some will go to deceive others. His victims, many of whom were ordinary people caught in a nightmare of his making, are now left to rebuild their lives. The 40-year sentence imposed on Youngblood sends a clear message: Those who prey on the fears and vulnerabilities of others will face the full weight of justice.
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