Two arrested in $1.2M fraud scheme

Two men were behind bars Thursday in connection with a $1.2 million investment fraud scheme that targeted non-English speaking Hispanics in Southern California and dates back to 2001, Carlsbad police announced Thursday.

Alan Espiritu, 35, and Cesar Moreno, 40, were arrested at their homes Tuesday as part of a fraud case that has been under investigation since May of last year, according to the Carlsbad Police Department.

They are accused of befriending non-English speaking Hispanics, often getting involved socially with their families and guaranteeing investment returns as high as 25 percent from their development company, Permex.

In some cases, victims were encouraged to stop making home payments to invest with Permex, and lost their homes while receiving little or no return on their investments, according to police.

The investigation started after an alleged victim called Carlsbad police to report a fraud. Since then, the case has grown to include 25 alleged victims, with a total loss of more than $1.2 million, police said.

The alleged victims live in San Diego County, as well as other Southern California locations, including Temecula and the San Fernando Valley.

“What makes this case so awful is that Espiritu and Moreno preyed on a vulnerable group of hard-working people who lived frugal lives, saving every dollar they could,” said Carlsbad police Detective Patty Parra.

Espiritu and Moreno each face numerous counts of grand theft, as well as security fraud violations, police said. They were booked into the Vista jail on $1 million bail.

Related posts:

  1. Indictment details massive mortgage fraud scheme
  2. Man arrested on suspicion of beating dog at Horse Park
  3. Two robbed at gunpoint in Carlsbad
  4. Man who engineered Ponzi scheme dies
  5. Local man faces fraud charges

Short URL:

Posted by on Nov 5, 2009. Filed under Archives. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

Leave a Reply



Bottom Buttons 1

Bottom Buttons 2

Bottom Buttons 3

Bottom Buttons 4

Bottom Buttons 5

Bottom Buttons 6






  • Torrey Pines High School baseball alum Taylor Murphy excelling in pro ball
    It was during a breakout senior year at Torrey Pines High that Taylor Murphy first popped up on the radar of professional scouts. Shortly after graduation, Murphy was selected by the San Diego Padres in the 40th round of the June 2011 amateur draft. He declined, honoring a commitment to the University of the Pacific. Three years later, Murphy got another sho […]
  • Why Hire a Licensed Landscape Professional?
    By Steve Jacobs, Nature Designs The old saying – “if something seems to good to be true, it probable is” – is quite fitting when it comes to hiring a contractor for your home or yard construction project. While it is smart to shop around, get quotes, etc., don’t fall into the trap of trusting […]
  • Nonprofit Pegasus Rising in urgent need of a new home for horses
    The horses of Pegasus Rising are in need of a rescue again: After six years at the Valenti Ranch in Rancho Santa Fe, the organization that provides equine therapy to military personnel is in urgent need of a new home. They need to be out by Aug. 15. […]