FRESNO, Calif. (AP) — Federal prosecutors have arrested a Central California man they accuse of duping investors out of $20 million in a real estate Ponzi scheme.
The U.S. Attorney's Office in Fresno said Friday that 36-year-old Seth Depiano of Clovis promised investors he'd use their money to buy and manage several rental apartments.
Prosecutors say, however, that Depiano made up documents showing who owned the apartments, and in some cases the buildings didn't exist.
Authorities say he used money from new investors to pay past investors their so-called profits.
Depiano is charged with mail fraud, wire fraud and money laundering; the charges make him eligible to spend 20 years in prison.
Depiano's attorney Daniel Bacon declined to comment on the case until he reviews the charges and speaks to his client.
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