American Greed: Scams, Scoundrels and Scandals Season 5 Episode 3 Fool's Gold

American Greed: Scams, Scoundrels and Scandals season 5 episode 3, titled "Fool's Gold," examines the case of a fraudster who swindled investors out of millions of dollars through a bogus gold mining company.

The episode starts by introducing David Lisonbee, a Utah-based businessman who launched a company called Washakie Renewable Energy in 2007. The company claimed to be in the business of producing biodiesel fuel from various sources, including cooking oil, animal fats, and waste grease. However, Lisonbee had a different scheme in mind: he wanted to use the company to fund his real passion, gold mining.

Lisonbee spent millions of dollars buying mining equipment, leasing land, and hiring employees, all under the pretense of using leftover grease from biodiesel production to extract gold from dirt. He promised investors huge returns on their investments, claiming that his company had discovered a "secret sauce" that enabled it to extract larger quantities of gold than anyone else.

The investors were eager to jump on board, and Lisonbee pulled out all the stops to make his scheme seem legitimate. He created fake credentials, including a non-existent PhD from Brigham Young University, to convince potential investors that he was a successful entrepreneur and scientist. He organized elaborate tours of the mining sites, complete with staged demonstrations of gold extraction, to show the investors that his company was the real deal. And he surrounded himself with a team of loyal employees who were willing to go along with the fraud.

As the money poured in, Lisonbee began to live the high life. He purchased a series of expensive homes, including a sprawling mansion in Utah and a beachfront property in Hawaii. He bought himself a private jet and a yacht and spent large sums on vacations, cars, and jewelry. He also used company funds to pay for a lavish lifestyle for his family and friends, including trips to Fiji and Australia, and even a private concert by Elton John.

But the scheme could not go on forever, and eventually, Washakie Renewable Energy collapsed under the weight of its own lies. The investors realized that they had been scammed, and the authorities launched an investigation. Lisonbee and his co-conspirators were arrested and charged with multiple counts of fraud and money laundering.

The episode follows the investigation and trial, including interviews with some of the investors who lost their money and the law enforcement officials who worked to bring Lisonbee to justice. It also delves into the psychology of white-collar criminals and the allure of a get-rich-quick scheme.

In the end, Lisonbee is found guilty and sentenced to 15 years in prison. His assets are seized and sold to repay the investors, but many of them are left with little to show for their losses. The episode serves as a cautionary tale about the dangers of greed and the importance of due diligence when investing in any venture.