California Real Estate Investor Indicted for Wire Fraud: Benny Chetcuti Case Overview

How Benny Chetcuti Was Charged in a Real Estate Wire Fraud Case

On March 28th, a federal grand jury in Oakland, California, returned an indictment against Benny Chetcuti, Jr., charging him with two counts of federal wire fraud. Chetcuti ran a business, Chetcuti & Associates, that allegedly defrauded private real estate investors over several years.

If convicted, Chetcuti faces:

• Up to 20 years in federal prison

• A fine of $250,000 or twice the gross loss or gain

• Restitution to victims

• Asset forfeiture

Learn more about wire fraud penalties.

Timeline of the Alleged Scheme

According to the indictment, the fraud took place between October 2002 and June 2010. Chetcuti operated a “fix-and-flip” real estate business, where he purchased properties, renovated them, and sold them for profit. He obtained funds from private investors via promissory notes — but many of these deals weren’t what they seemed.

How the Fraud Worked

The federal indictment claims that Chetcuti:

• Lied about how much existing debt was secured against properties

• Failed to record deeds of trust, leaving investors unprotected

• Forged letters from lenders

• Directed impersonations of title company representatives and lenders

Legal Penalties for Federal Wire Fraud

Under 18 U.S. Code § 1343, wire fraud is a serious federal crime punishable by:

• Up to 20 years in prison

• Significant financial penalties

• Restitution and forfeiture

Wire fraud is classified as a white-collar felony involving deception over electronic communications.
You can learn more about wire fraud on Wikipedia.

FBI’s Role in the Investigation

The case was investigated by the Federal Bureau of Investigation (FBI). Prosecution is being handled by Assistant U.S. Attorney Andrew S. Huang, with assistance from Vanessa Quant. Chetcuti is expected to appear before Judge Kandis A. Westmore.

How This Case Affects Real Estate Investors in the South

While this case happened in California, real estate wire fraud can affect investors nationwide — including those in the Southeast U.S. If you’re investing in places like:

• Birmingham, Tuscaloosa, Montgomery, Huntsville, or Mobile, Alabama

• Atlanta, Augusta, Columbus, or Albany, Georgia

• Jackson, Biloxi, or Gulfport, Mississippi

• Pensacola, Tallahassee, or Panama City, Florida

• Chattanooga, Nashville, Memphis, or Knoxville, Tennessee

…it’s essential to perform due diligence. Investors in these high-growth markets must be aware of fraud risks, especially in private lending or rehab-and-flip deals.

Tips to Protect Yourself from Real Estate Investment Fraud

If you’re investing from cities like Greenville, TN, Dothan, AL, or Columbus, GA, here’s how to protect your capital:

• Always record your deed of trust through the county

• Verify all property liens and mortgage history

• Be skeptical of “guaranteed return” deals

• Don’t rely solely on verbal assurances — always request written terms

• Use local real estate attorneys and independent title services