Walters Found Guilty of Insider Trading

Billy Walters has amassed a fortune by always winning when it counted. That luck ran out Friday afternoon in a New York courtroom when he was convicted of 10 counts of conspiracy and securities fraud. Walters, who is 70 years old, could face up to 20 years in prison. Sentencing will take place in July.

Walters, who owns seven homes and a $20 million jet was ordered to serve house arrest until sentenced. He is also barred from flying on his plane.

Walters appeared stunned with the verdict.

“If I would have made a bet, I would have lost,” Walters he said leaving court. “I just did lose the biggest bet of my life. Frankly I’m in shock. To say I was surprised would be the understatement of my life.”

“Billy Walters lost his bet that he could cheat the securities market on a massive scale,” acting Manhattan U.S. Attorney, Joon H. Kim, said in an issued statement. “Walters underestimated law enforcement’s resolve to pursue and catch those who cheat the market.”

Walters’ attorney said he would appeal the decision.

The conviction stemmed from charges than Walters made $43 million in trades involving Dean Foods. Former CEO of Dean Foods, Tom C. Davis, testified he fed Walters inside information about the company before it was made public. Davis had already pleaded guilty to securities fraud and was testifying to receive a reduced sentence.

Billy Walters had been in legal trouble before, but had managed to beat the charges. He beat a fraud and money laundering charge in 2014 and has been found not guilty of gambling charges in the past.

The jury reached its decision after just 5.5 hours of deliberation. The trail began on March 15 and received even more publicity after Phil Mickelson was brought into it. Mickelson, a friend of Walters, was not called to testify after he said he invoke his 5th Amendment rights.