ALBUQUERQUE, New Mexico — A prominent New Mexico businessman was arrested this morning on numerous charges stemming from an alleged multi-million-dollar Ponzi scheme that involved several hundred investors, U.S. Attorney Kenneth Gonzales said.
Douglas Vaughan, 63, was taken into custody without incident at a home in Albuquerque’s north valley after a federal grand jury returned a 30-count indictment that accused the former real estate executive of wire fraud, mail fraud, money laundering and other charges. The indictment came after more than a year of investigation by state and federal authorities.
“As a result of this scheme, hundreds of investors stand to lose tens of millions of dollars and in some cases investors have lost their entire life savings,” Gonzales said. “We, by far, cannot guarantee or assure in any way that the victims of this scheme will get any of their investment money back. However, it’s my hope that this prosecution will bring some measure of solace to each of the victims.”
Gonzales — flanked by officials from the FBI, Secret Service, U.S. Postal Inspection Service, and the Securities Division of the New Mexico Regulation and Licensing Department — said he hopes the prosecution of Vaughan will also serve as a warning to others to “think twice before they use a position of trust to take advantage of innocent victims.”
Vaughan had served as the chairman, chief executive officer, president and majority shareholder of Vaughan Company Realtors, which was once the largest independent residential brokerage in New Mexico. In February 2010, he filed for personal and corporate bankruptcy. (AP)
