Paragon Industries CEO Derek Wachob arrested on complaint of wire fraud, reportedly stole $66 Million from investors

By Kirk McCracken – KRMG News

11/18/2025  4:06pm

SAPULPA., Okla. — Paragon Industries CEO Derek Wachob was taken into custody today in Sapulpa on one count of wire fraud after a federal indictment.

The US Attorney’s Office Southern District of New York said the arrest is in connection with his alleged multi-year scheme to defraud individual investors, a bank, an investment firm, and at least two steel pipe distributors of at least $66 million dollars. He even allegedly took money from close friends.

For the last two years, the 53-year old Wachob allegedly obtained money from each of the victims by claiming to offer false business opportunities, but instead, reportedly spent the funds to maintain an extravagant lifestyle of expensive cars, vacation homes, private jets, helicopters, and yachts.

“Derek Wachob allegedly stole at least $66 million from investors, including some of his closest friends, and financial institutions to secretly fund his failing company and extravagant lifestyle through false promises of profitable business ventures,” said FBI Assistant Director in Charge Christopher G. Raia.  “Wachob allegedly abused his authority as CEO to entice his targets with a mirage of success while shrouding the truth in deceit. The FBI remains committed to investigating any business leader who siphons from the accounts of trusting victims for personal enrichment.”

Wachob is charged with one count of wire fraud, which carries a maximum sentence of 20 years in prison, and he must forfeit any property paid for by the fraud.