A former madam from Hollywood, California is once again in legal trouble after being charged with operating a boiler room in Fort Lauderdale, Florida to commit fraud that garnered $400,000 from stock investors throughout the United States.
The woman is still currently serving a three-year probation sentence for her role as a high class madam in California who provided high profile clients with escorts who were models or porn actresses.
The woman, who is in her mid-thirties, was arrested and taken to the Broward County Jail on Tuesday, where she was fingerprinted and had her mugshot taken. After she was busted for her prostitution ring, she moved to the Boca Raton area of Florida. Prosecutors alleged that her prior business raked in more than $8 million.
The former madam’s Fort Lauderdale fraud defense attorney argued against the allegations of the arrest affidavit, which explains the charges of fraud and the operation of a boiler room as well as sales of unregistered securities. The woman also allegedly received $80,000 and operated as the company’s vice president.
Her attorney stated that the amount of money his client received was greatly exaggerated and that he was confident that the situation would be clarified. He added that his client was also not responsible for the crime.
The Florida Office of Financial Regulation conducted the investigation after receiving a complaint from an investor, according to the arrest affidavit. A spokeswoman reported that she was unable to comment because the investigation was still ongoing.
The arrested woman and eight other individuals marketed fraudulent securities at an alternative energy company for several months. According to the arrest affidavit, they took $402,000 from investors. Two other defendants involved in the case were also charged. The woman was released from jail after posting bond in the amount of $41,000.
If you are arrested in Florida on fraud charges, you need help immediately. Contact Hassett & Associates, P.A. to get in touch with a Fort Lauderdale fraud defense attorney. Call the law office at 954-791-3939 at your earliest convenience.
