A financial advisor from south Denton County pleaded guilty last week to money laundering charges.
Doug McKelvey, 58, of Trophy Club, pleaded guilty to the federal violations on June 6 before U.S. Magistrate Judge Kimberly Priest Johnson, according to a news release from U.S. Attorney Damien Diggs.
McKelvey worked as a vice president and financial advisory at a Morgan Stanley office in Southlake from 2008 to 2022. According to information presented in court, McKelvey misappropriated at least $1.5 million of investor funds held in brokerage accounts. The funds were supposed to be invested on behalf of his clients, but instead, McKelvey used the funds to pay for personal trips, cruises, restaurants, salons and other personal expenses. In a parallel action on June 6, the Securities and Exchange Commission charged McKelvey with fraud, alleging he misappropriated more than $1.7 million from two elderly brokerage customers who were close relatives of his.
McKelvey faces up to 10 years in federal prison.
