SAN DIEGO (CN) – A businessman from suburban Poway is one of three men charged in a 35-count indictment accusing them of running a $51 million stock loan fraud.
James T. Miceli, 48, of Poway; Douglas A. McClain Jr., 38, of Savannah, Ga.; and Jeffrey R. Spanier, 46, of Delray Beach, Fla., are accused of conspiracy, mail fraud, wire fraud, securities fraud and money laundering, the U.S. Attorney’s Office said.
Miceli and McClain ran businesses in San Diego and Savannah under the name Argyll, prosecutors said in a statement. Spanier ran a loan brokerage in Florida under the name Amerifund.
“According to the indictment, Miceli, McClain, and Spanier conspired to defraud the public and borrowers by falsely representing that Argyll was an institutional lender with significant cash to lend to corporate executives and other individuals,” prosecutors said in the statement. “According to the indictment, Miceli, McClain, and Spanier fraudulently induced borrowers to pledge stock they held in publicly traded companies as collateral for loans by falsely representing that the borrowers’ stock would not be sold unless there was a default on the loan and failing to disclose that Argyll intended to sell the borrowers’ stock in order the fund the loans as well other business ventures of Miceli and McClain.”
Prosecutors seek forfeiture of $51 million in cash and securities, and of “a Ferrari, an Advantage Party Cat vessel, a Cessna Citation corporate jet, and diamond jewelry.”
Miceli is scheduled for a detention hearing on March 20. McClain and Spanier are to be sent to San Diego soon, prosecutors said.
Each count of wire fraud, mail fraud, securities fraud and money laundering is punishable by up to 20 years in prison and a $250,000 fine.