Man who repaid most of scam’s victims receives probation

Alan Derek Jernigan told investors he had deals with the governments in the Philippines and Malaysia to sell them testing kits and other medical supplies.

But Jernigan never exported any medical supplies nor did he have any contracts, according to the Texas State Securities Board.

He did send something overseas, however, according to the agency. At least some of the $463,000 he collected from six investors in 2008 and 2009 went to a bank in West Africa, according to authorities.

Guilty plea

Jernigan, 55, pleaded guilty to securities fraud last year.

He was sentenced to 10 years probation this week in Brazoria County State District Court with the first 60 days to be spent in the Brazoria County Jail.

Jernigan lived in Manvel during the time he sold the investments and later moved to the Austin area.

Jernigan has repaid five investors the $341,000 he took from them, according to the agency.

He must make monthly payments to repay the sixth investor under the terms of his sentence.

His lawyer did not return a call for comment this week.

Filed for bankruptcy

At the time Jernigan was selling the investments, he did not disclose his own financial difficulties, according to the board. He filed for bankruptcy in 2007.

Jernigan also failed to reveal an unpaid $53,847 civil court judgment against him in Maryland, according to the securities board.

That case was brought by an investor in a similar medical supplies program.