San Antonio Investment CEO Admits to $69.5 Million Real Estate Ponzi Scheme

The Collapse of a Trusted Investment Firm

Devin Ward Elder, 47, the founder and CEO of DJE Texas Management Group, pleaded guilty to one count of wire fraud in a scheme that defrauded hundreds of investors across multiple states. From January 2023 to March 2025, Elder raised more than $69.5 million from approximately 345 investor victims across 17 real estate investments , turning what appeared to be a legitimate San Antonio-based investment firm into a massive fraud operation.

The firm invested in apartments, industrial flexible workspace units, land projects, commercial building projects and also offered investment in an "Income Fund." What investors didn't know was that their money was being shuffled around in classic Ponzi fashion, with new investments used to pay returns on older ones. Elder repeatedly promised victims high returns and minimal risk in multiple material misrepresentations, claiming he would also "co-invest" his own money .

How the Ponzi Scheme Operated

"Additionally, in classic Ponzi fashion, Elder made interest payments to investors of one project using investor funds from other projects without disclosing the nature or source of those interest payments," according to court documents. This deceptive practice allowed Elder to maintain the illusion of successful investments while actually using new investor money to pay returns to earlier investors.

Prosecutors allege Elder solicited investors nationwide by pitching 10 percent returns and touting conservative deal structures, including claims that properties would be acquired without debt . These promises proved to be false, as the investigation revealed the true nature of the fraudulent operation. The FBI opened a criminal investigation into DJE in 2025, prompting federal authorities to pause a parallel civil case in favor of the criminal probe .

Legal Consequences and Investor Impact

Elder is scheduled to be sentenced the week of June 2 and faces up to 20 years in prison. A federal judge will determine the final sentence after considering sentencing guidelines and other factors . The plea agreement requires Elder to repay roughly $66 million in restitution to defrauded investors , though the full terms remain under seal.

The case represents one of the largest real estate investment frauds in recent San Antonio history, affecting hundreds of families who trusted Elder with their savings. Many investors were likely drawn to the promise of steady returns in a volatile market, only to discover their funds had been misappropriated through the elaborate scheme.

Broader Implications for Real Estate Investing

This case serves as a stark reminder of the risks inherent in private real estate investments, particularly those promising unusually high returns with minimal risk. The sophisticated nature of Elder's operation—complete with legitimate-sounding investment structures and professional presentations—demonstrates how difficult it can be for individual investors to identify fraudulent schemes.

The swift action by federal authorities and the cooperation evident in Elder's guilty plea may help expedite the restitution process for victims. However, the case underscores the importance of thorough due diligence when considering investment opportunities, especially those involving pooled funds or syndicated real estate deals. As the real estate investment market continues to evolve, this case will likely influence how regulators and investors approach similar opportunities in the future.