Michael McDonagh, 43, who currently lives in Massachusetts, was sentenced in downtown Los Angeles by U.S. District Judge David O. Carter, who also ordered him to pay $5.46 million in restitution, according to the U.S. Attorney’s Office.
Want to get caught up on what’s happening in SoCal every weekday afternoon? Click to follow The L.A. Local wherever you get podcasts.
McDonagh pleaded guilty in May to one count of wire fraud.
McDonagh founded and/or controlled several telemarketing companies — Irvine-based Global Transfer Inc., Costa Mesa-based Global Transfer SoCal Inc., Santa Ana-based Nationwide Transfer Inc., and Signal Hill-based Nationwide Exit Specialist Inc. — that purported to offer timeshare relief. According to prosecutors, once one telemarketing company became inundated with consumer complaints, McDonagh would form a new telemarketing company to perpetuate the fraud.
From 2015 to May 2019, “openers” who worked for McDonagh contacted timeshare owners and offered to help them terminate their timeshare interest for a fixed fee. If the timeshare owner expressed interest in the services, the call was transferred to a “closer” who convinced victims to sign contracts, prosecutors said.