A federal grand jury indicted and charged three partners at a Monterey
investment firm with 43 federal counts. The three suspects were arrested
on Thursday, October 7, 2010, by federal regulators.
According to the office of Melinda Haag, U.S. Attorney for the Northern
District of California, the three executives, Barbara Alexander, 63, Beth
Pina, 44, and Michael Swanson, 62, were indicted in federal court in San
The 43 federal counts include mail, wire and securities fraud, as well
as money laundering. On separate charges, the U.S. Securities and Exchange
Commission (SEC) charged the suspected investment scam artists with securities fraud.
The indictment alleges that the three individuals were partners at Monterey-based
APS Funding Inc. They have been accused of raising more than $7 million
from investors, telling the unsuspecting investors that the money would
be used to make short-term, high-interest loans for real estate and business purposes.
However, 90 percent of the money raised between 2006 and 2009 was allegedly
used for “personal use” by the three suspects.
Ms. Alexander, who hosts the syndicated radio show, Money Dots, has been
accused of using her radio show to lure investors into their investment
scam. She has been accused of using nearly $200,000 to remodel her kitchen.
Ms. Alexander and Mr. Swanson were both arrested in Monterey County. Ms.
Pina was arrested in her hometown of Fairfield, Idaho.