Pair accused of defrauding real estate investors
An alleged vacation rental scheme in Florida has resulted in two people receiving various charges including fraud. According to federal prosecutors in the case, the pair defrauded 1,400 investors out of an estimated $300 million. Both of the accused individuals have pleaded not guilty to the charges. While waiting for their Key West federal court trial, both of the accused are being held in custody without the option of posting bail.
The alleged bank fraud involved a company called Cay Clubs Resorts and Marinas. Through the company, people would invest into run-down properties under the belief that the company would renovate them. The company allegedly promised investors that they would each receive up to 20 percent from the sale price of each property that had been upgraded.