LI Woman Scammed Investors Out Of $10 Million: US Attorney

A Manhasset woman was charged today with fraud in relation to a scheme that prosecutors say scammed real estate inestors out of more than $10 million.

Grace Kay, 74, was charged with wire fraud in relation to a scheme to solicit funds from real estate investors. According to the indictment against her, between Jan. 1, 2018 and April 15, 2018, Kay and others lied to investors and said that she had inherited real estate in Japan, including three sky scrapers. She allegedly told them she needed money to pay fees and taxes in order to sell the real estate, and then return a large profit to the investors.

Believing Kay, people paid her more than $10 million, prosecutors say, which she used for her personal use.

“As alleged in the indictment, Kay devised a real estate scheme built on tall tales to fleece investors out of millions of dollars,” said United States Attorney Richard Donoghue. “With today’s arrest, this Office begins the process of bringing justice to the victims.”

If convicted of wire fraud, Kay faces up to 20 years in prison