A Briton has been extradited to the US over his alleged connections in a $99million (£73million) wine fraud.
James Wellesley, 58, appeared before a New York court on Friday to answer accusations of orchestrating a sophisticated fraud that targeted investors worldwide.
American prosecutors allege that Wellesley and another British national, Stephen Burton, deceived investors by masquerading as executives of a firm called Bordeaux Cellars.
The pair allegedly convinced victims to provide loans to what they claimed were affluent wine enthusiasts, securing the funds against purported collections of rare vintages.
The pair are accused of deceiving investors by masquerading as executives of a firm called Bordeaux Cellars
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The alleged fraud operated between June 2017 and February 2019, with the defendants promoting their investment opportunity at conferences globally, including in America.
Prosecutors claim the scheme functioned as a Ponzi-style operation, promising investors consistent interest payments on loans supposedly backed by prestigious wines.
The purported collateral included bottles from Domaine de la Romanée-Conti in Burgundy, marketed online at over $17,000 (£12,593) each, and Château Lafleur from Bordeaux, priced above $5,000 (£3,703) per bottle.
However, US authorities assert that neither the wealthy wine collectors nor their valuable collections actually existed.
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The defendants allegedly diverted investor funds for fraudulent payments to other victims and personal enrichment.
Christopher Raia, assistant director in charge of the FBI New York office, stated: "James Wellesley and his business partner allegedly concocted an elaborate scheme defrauding investors out of millions of dollars to finance their own personal expenses. Their alleged deceit spread across years and continents."
Homeland Security special agent Ricky Patel commented: "James Wellesley and his co-conspirator are accused of masterminding their nearly $100million (£74million) international fraud scheme that exploited the unsuspecting public, including New Yorkers, for their own selfish enrichment."
The charges against both men include conspiracy to commit wire fraud, wire fraud and conspiracy to commit money laundering.
Wellesley appeared before a New York court on Friday
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US attorney Joseph Nocella stated: "Today's arraignment sends a message to all perpetrators of global fraud schemes that my office will work tirelessly to ensure they answer for crimes committed in the United States."
Wellesley reportedly operated under multiple false identities, including Andrew Fuller and Andrew Templar, according to authorities.
Burton was apprehended in Morocco in 2022 whilst attempting to enter using a fraudulent Zimbabwean passport and was subsequently extradited to America in December 2023.
Should they be found guilty, both defendants could receive prison sentences of up to two decades.