Video game tech gets 2 years in prison for secret sales

Video game tech gets 2 years in prison for secret sales

By Bob Egelko | San Francisco Chronicle

A video game technician was sentenced to two years in federal prison Tuesday for secretly making and selling game software for his own profit after selling the rights to those games to a South Bay company, prosecutors said.

David Foley, 48, of Los Gatos pleaded guilty in January 2012 to conspiracy to defraud the company, Global VR of San Jose, and a bank.

Foley owned another San Jose company,UltraCade Technologies, which produced game packs, collections of games that could be loaded onto arcade video machines. In 2006, he sold UltraCade to Global VR, which hired him as its chief technology officer.

Prosecutors said he obtained the software, manufactured game packs at home and sold them to another company to be marketed under the UltraCade name. He also admitted defrauding a home lender out of nearly $3 million by claiming he was still employed by Global VR, which fired him after learning of the fraud, prosecutors said.

U.S. District Judge Edward Davila of San Jose imposed the sentence, which also included a $5,000 fine.



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