Joel Ernest Donaldson sentenced for escort business investment scheme

A personal trainer went as far as faking a photo shoot to try to cover up a six-figure scam for a ‘global escort company’.

Joel Ernest Donaldson leaves Maroochydore Court House. Picture: Patrick Woods.

A court has heard how a former fitness trainer funded his lavish lifestyle by defrauding his victims of more than $100,000 in an escort business scam.

Joel Ernest Donaldson, 32, arrived at Maroochydore District Court with a large bag and a comfortable change of clothes in hand on April 15, shortly before he pleaded guilty to fraud by dishonestly gaining benefit of a value of at least $100,000

The court heard his offending in Queensland spanned between November, 2019 and October, 2021 where he in total obtained $110,682.50 from five different victims.

Court documents previously seen by this publication alleged the man and a co-offender racked up more than $500,000 in the scheme, but Donaldson only defrauded victims of $110,682.50, which he was then charged for.

Crown prosecutor Caleb Theunissen said Donaldson and Jason Trent Davenport used the guise of an escort company named “Madesco”, boasting “hundreds of escorts” worldwide, to entice their victims to make investments.

Joel Ernest Donaldson leaves Maroochydore Court House. Picture: Patrick Woods.

He told the court Donaldson met Mr Davenport when he was employed as his personal trainer and the pair soon came to live together, at which time Mr Davenport allegedly made his claims about the escort business.

The court heard Donaldson become involved in the scheme and convinced his cousins to make investments before cutting ties and moving to Queensland with Mr Davenport.

It was from here, Donaldson helped obtain the six-figure sum from victims, including one who invested more than $33,000 and another who invested $22,000.

Mr Theunissen said a photo shoot had been arranged at one point to convince the victim of the company’s legitimacy and Donaldson had given excuses when the victims began to question him about the lack of return on their investments.

Of the $110,682.50, about half landed in Donaldson’s account.

Joel Ernest Donaldson leaves Maroochydore Court House. Picture: Patrick Woods.

The pair had funded a “lavish lifestyle” including travel, cryptocurrency and cosmetic surgery through their fraudulent business, Mr Theunissen said.

The court heard Donaldson was arrested by Australian Federal Police at Sydney Airport upon his return from Malaysia in September, 2023.

Mr Theunissen noted no reimbursement was made to the victims and Donaldson had attempted to play down his offending to police when he was first arrested.

The court heard Mr Davenport is currently in Dubai allegedly to avoid arrest in Australia.

Defence barrister Dominic Nguyen said Donaldson has since taken steps to better his life and has gained qualifications in fitness.

Judge Gary Long noted he had “stabilised” his life, as evident by references written by his housemates.

He was sentenced to three years and nine months’ imprisonment, to be suspended after 415 days in custody for two years, which Donaldson had already served.

Originally published as Joel Ernest Donaldson sentenced for escort business investment scheme