Marin County real estate executives plead not guilty in fraud case

September 2, 2026 - 09:39

Two former top executives from the now-defunct Pacific Private Money group appeared in federal court this week to formally deny charges tied to what prosecutors describe as a sprawling, multiyear fraud scheme. The pair, who once led the Marin County-based real estate investment and lending operation, are accused of orchestrating a financial shell game that allegedly pulled in more than one hundred million dollars from investors over several years.

According to the indictment, the executives are charged with using funds from newer investors to pay promised returns to earlier backers, a structure commonly associated with Ponzi-style operations. The scheme reportedly concealed the true financial health of the company while the executives pocketed substantial sums for personal use. Court documents suggest that the pair misrepresented the status of real estate loans and property values to keep the money flowing, even as the underlying investments soured.

Both defendants entered not guilty pleas to all counts, which include wire fraud, securities fraud, and conspiracy. Their attorneys have indicated they intend to challenge the government's narrative, arguing that the business dealings were legitimate, albeit poorly managed during the economic downturn. The judge set a preliminary trial date for early next year, allowing both sides time to review extensive financial records.

The case has sent ripples through the local investment community, where Pacific Private Money was once seen as a reliable vehicle for high-yield real estate notes. Many of the alleged victims are retirees and small business owners from the Bay Area who say they lost their life savings. The prosecution is seeking forfeiture of assets, including several luxury properties and bank accounts linked to the executives. The next hearing is scheduled for late spring, with both defendants currently released on bond.