McFarland also told investors he had purchased event cancellation insurance for the Fyre Festival so they could recoup their investment if the festival did not work out as planned. In actuality, he never bought the insurance, and the investors lost their money.

After the FBI learned of the potential fraud and conducted a subsequent investigation, McFarland was arrested and charged with wire fraud last year. Yet, after pleading guilty to crimes related to Fyre Media and the Fyre Festival and awaiting sentencing, McFarland began a new but similar fraud scheme to continue supporting his own lavish lifestyle, which included high-end clubs, travel, and other luxuries.

McFarland used another company, NYC VIP Access, to claim to procure tickets for exclusive sporting events, fashion galas, music festivals, and award shows. Given the notoriety of the Fyre Festival, he hid his involvement in the company though his employees, but he still collected the proceeds. For nearly a year, the company received approximately $150,000 from 30 victims, who either never received the tickets they were promised or received tickets different from what they paid for.

“McFarland did not have access to the tickets he said he had access to,” Taylor said. “Although this fraud was brazen, it’s not unusual to see recidivism among fraudsters.”

In March, McFarland pleaded guilty to wire fraud related to his original crimes, and in July, he pleaded guilty to an additional wire fraud charge, bank fraud, and false statements stemming from his subsequent scheme. On October 11, he was sentenced to six years in prison. As part of his guilty pleas, McFarland agreed to forfeit $26 million in ill-gotten gains. Money that can be recovered through the asset forfeiture process will be returned to victims, if possible, though that will likely be a small portion of what was lost.