|Sean David Morton at LAX in Los Angeles|
after being released from federal prison.
Morton and his wife were both convicted in 2017 for their involvement in not only only defrauding the government, but also their involvement in a straw-man redemption scheme in which victims were conned into paying Morton to file false bonds to pay off their debt.
Morton's wife, who was also convicted in the scheme, served half of a 24 month sentence.
All the bonds submitted were rejected and The Mortons received warnings from the state of California as well as the IRS that the bonds were not legal. In spite of these multiple warnings and having knowledge the bonds did not work, The Mortons continued charging people and filing the bogus bonds. The New York Times did an in-depth story about Morton and the scam.
Agents from the IRS later served a search warrant on the apartment Morton was residing in. After being convicted, Morton failed to show up for a sentencing hearing and both he and his wife were later apprehended at a hotel where Morton had been hiding out.
While the Federal Bureau of Prisons did not respond to a request for comment, Morton likely was released due to the pandemic and the impact it is having on inmates and corrections staff across the country.
During his time in prison, Morton filed a number of babbling and incoherent briefs with the court to overturn his conviction and for his early release with every filing being denied. Morton also posted a story allegedly written by another inmate named Fabian recounting what supposedly took place in prison, including Morton doing some Matrix moves on another inmate and getting letters in prison from the White House.
|Melissa Morton (left) and Sean David Morton|
prior to their legal troubles.
Over 100 investors lost more than $6,000,000.00 and it was discovered The Mortons moved funds into shell companies and used investor funds for personal expenses. None of Morton's stock market predictions came to pass and several investors lost their life savings with some suing in an attempt to get their money.
In 2003, Morton attempted to sue ufowatchdog.com for $1,000,000 in damages when Morton claimed he had been libeled in the ufowatchdog.com investigation The Shameless Psychic and His Prophecy of Lies, which exposed Morton's false claims about his background and education. Morton was only required to prove a single claim made by ufowatchdog.com was false and he failed to meet this low burden of proof. A judge found for ufowatchdog.com and Morton was ordered to pay $16,000.00 to ufowatchdog.com in legal fees.