A federal grand jury has accused a Knoxville man of setting up two fictitious companies to defraud elderly investors.
A grand jury sitting in Chattanooga returned a seven-count indictment against 50-year-old John Allen Morris on Tuesday. He is charged with wire fraud, mail fraud, bank fraud and wrongful use of a government seal.
A news release from federal prosecutors alleges that Morris convinced several investors to surrender legitimate annuities to invest in his companies.
Morris is accused of establishing bank accounts and depositing the money, but rather than investing the funds, Morris allegedly converted it for his own personal use.