An Ann Arbor man will spend nearly three years in federal prison for running a commodities trading fraud that caused more than $2.7 million in losses and victimized at least 128 individuals and organizations.

Brian Mitchell, 44, was sentenced Wednesday, Oct. 7, to 33 months in federal prison after pleading guilty to wire fraud, the U.S. Attorney's Office for the Eastern District of Michigan announced. A federal judge also ordered Mitchell to pay $2,749,210.60 in restitution and serve two years of supervised release after completing his prison term.

Mitchell collected investments through entities including Young Pros Investment Group and My Nest Egg, according to the U.S. Attorney's Office. He repeatedly told investors their money was protected against loss and "guaranteed," and made false claims about future earnings.

Mitchell had previously settled with the Commodity Futures Trading Commission (CFTC) over violations of the Commodity Exchange Act between January 2018 and January 2019. That settlement barred him from commodity futures trading and from soliciting investor funds for that activity for three years.

Mitchell kept trading anyway. He did not disclose the ban to investors, according to prosecutors.

While still suspended, Mitchell obtained $150,000 from a local church, promising a 72% annual return that he claimed would produce $4,798,153 in investment earnings over five years, according to the U.S. Attorney's Office. The sentencing announcement did not name the church.

To explain why his promised protection against losses no longer applied, Mitchell claimed the CFTC had taken assets he called "back-up money." That claim was false, according to federal prosecutors.

"This defendant caused regular folks to lose millions of dollars," U.S. Attorney Jerome F. Gorgon Jr. said in a statement. "That was not enough for him, so he targeted a church to cover his scheme. He is shameless."

The FBI's Ann Arbor Resident Agency investigated the case. MLive also reported on the sentencing.

FBI Detroit Special Agent in Charge Jennifer Runyan said Mitchell built a fraud scheme "on lies, false promises, and the hard-earned money of people who trusted him."

Residents who believe they may be victims of investment fraud can submit tips through the FBI’s online tip form.