California Officials File Suit Accusing Developers Of Selling Same Lots To Multiple Buyers, Pocketing $6M In The Process

In Fresno, California, The Mercury News reports:

• State officials accuse the developers of the failed Running Horse project in southwest Fresno of defrauding investors of millions of dollars in an effort to raise money. Tom O'Meara and Scott Webb allegedly sold the same lots to multiple buyers, told investors they were buying parcels inside the development when they actually were outside, and misled people into thinking their investments were secured by property in the ambitious project, officials with the [California] Department of Real Estate allege in their accusation. It is the first step in a process that could cause O'Meara's and Webb's brokerage licenses to be revoked. The state accuses the two men of defrauding about $6 million from 10 investors.

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• The state's accusations follow a lawsuit filed by investors from Alameda County in February against two real estate agents and a title company that had represented Running Horse.

For more, see Fresno developers accused of bilking $6 million from investors.