Whitewright man sentenced to 25 years in $360,000 fraud scheme

A Whitewright man accused of convincing area residents and businesses that he was awaiting a $10 million trust payout has been sentenced to 25 years in prison after authorities said the scheme cost victims approximately $360,000.

Victor Paul Smith, 43, was sentenced Aug. 19 in Grayson County. 

According to Grayson County District Attorney John Kermit Hill, Smith used documents and promises of an impending multimillion-dollar payout to persuade people to loan him money, provide goods and extend credit.

Smith told people he was due to receive $10 million from a trust and promised those who helped him financially that they would be repaid once the money arrived.

The promised payout never came.

According to prosecutors, Smith’s victims included individuals and businesses across the area. 

In some cases, he convinced people to purchase furniture and other items for him. 

He also received a fishing tour without paying and convinced two automobile dealerships to allow him to leave with new vehicles without paying for them, Hill said.

One woman reportedly gave Smith approximately $70,000 after he promised to repay her $250,000 within a matter of weeks.

Hill said Smith would continue to delay repayment, telling victims he needed another week or two for the trust money to arrive.

The scheme eventually drew the attention of the Denison Police Department after complaints were made to the agency. 

Investigators determined Smith had obtained money from people he met while working as a youth sports official over a period of several years. 

Some of the victims included community leaders and a police officer.

Hill said Smith sometimes issued checks that could not be honored and continued promising substantially larger repayments in the future.

Smith was arrested in September 2025 on a theft charge involving more than $300,000. 

By the time the case reached sentencing, Hill said losses connected to Smith’s activities totaled approximately $360,000.

Hill said the case serves as a reminder that victims of financial fraud do not necessarily fit a particular profile. 

“Educated and successful people can become victims when presented with convincing documentation and promises that appear legitimate,” Hill said.

The district attorney also said victims are unlikely to recover the money they lost.

Smith is a Sadler native with criminal charges for financial crimes in Grayson County dating back 20 years. 

He has misdemeanor hot check charges as far back as 2005. In 2007, he was charged with theft by check. 

He was also charged with theft of property, by check, in 2012 and 2014.