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2 Pierce County men indicted for fraud in New York

Post by Adam Lynn / The News Tribune on Jan. 26, 2011 at 11:35 am |
January 26, 2011 11:35 am

Two Pierce County businessmen have been indicted in federal court in New York with conspiracy to commit securities and wire fraud, the U.S. Attorney’s Office reported today.

William C. Lange, 63, and Joseph G. Pascua, 49, will make an initial appearance this afternoon in U.S. District Court in Tacoma, according to a news release.

The men are accused of defrauding more than $9 million from hundreds of people using two schemes, the news release states.

The first promised developers financing to build homes in areas hit by Hurricane Katrina. Potential investors were required to pay a 10-percent fee in order to access the financing, federal prosecutors contend.

“Lange and Pascua did not have the money to finance the loans but nonetheless kept the 10-percent fee,” the news release states.

The second scheme involved tricking people into investing in an Alaskan mining operation, the profitability of which they lied about, federal prosecutors contend.

“The defendants in this case are charged with executing two bold schemes to defraud their clients and investors of millions of dollars,” Loretta E. Lynch, U.S. Attorney for the Eastern District of New York, said in the press release.

Lange is president of Harbor Funding Group Inc. of Gig Harbor. Pascua is president of Black Sand Mine Inc. of Lake Tapps.

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