BELIZE CITY, Thurs. May 17, 2018– The United States Securities and Exchange Commission (SEC) yesterday brought charges against a Long Island man who, it said, misappropriated millions of dollars of investors’ money that he used to finance a lavish lifestyle for himself and his family, multiple reports out of New York confirmed.
Federal agents arrested Brent Borland, 48, of Sage Harbor, following an SEC investigation. Borland was charged with one count of conspiracy to commit securities fraud and wire fraud.
Borland, the owner of a New York-based investment fund named Belize Infrastructure Fund 1 LLC, and Borland Capital Group LLC, bilked about 40 investors out of an estimated $21.9 million between 2014 and March 2018.
Borland promised investors a high rate of return for their investment in an international airport on the Placencia peninsula in Belize.
Instead of using the money that he got from investors for the project, however, Borland allegedly spent it on himself, financing the purchase of luxury cars, a beach club membership, and private tuition for his children.
Borland allegedly spent $2.67 million out of the money to pay his wife’s credit card bills, and another $1.75 million on mortgage payments for his mansion in Florida, according to the federal complaint.
The maximum penalty for conspiracy to commit securities fraud is a 5-year prison sentence.
Borland is also facing a 20-year maximum sentence for wire fraud and another 20-year maximum sentence for securities fraud.
In addition to the criminal charges against him, the SEC has filed civil charges against Borland, who was scheduled to appear before U.S. Magistrate Judge Barbara Moses in Manhattan federal court, yesterday, Wednesday.