A 40-year-old man was arrested last week after allegedly defrauding three victims out of approximately $10.9 million.
According to a news release from the US Attorney's Office, District of Arizona, Brandon Aaron Kreutz — who was operating under the business names Brandon Kreutz Custom LLC, Brandon Kreutz Custom LLC, dba BKC Firearms, Balor Defense LLC, Vice Manufacturing, and Vice Fitness Inc. — told his victims he was a U.S. Government subcontractor who held a patent-pending firearms device with contracts to produce it.
He told the victims he "was party to multi-million-dollar contracts with foreign governments for the purchase of the device," the news release said. He made false claims to secure loans from the victims, saying the money would be used to fund the device's production and sale to foreign entities. Those sales would yield high returns and repayments, he told the victims.
In reality, Kreutz did not apply for a patent, did not have the equipment to produce it and did not secure manufacturing contracts or purchasing contracts, the news release said.
The money was instead use on a $1 million personal home, upgrades to the home, dozens of luxury vehicles, a race car, a membership in a racing club, travel and firearms.
He also hid some of the victims' money in health and wellness business ventures and bank accounts owned by close associates.
Anyone with information on this scheme or other victims should call the FBI at 1-800-CALL-FBI.
