Ex-Attorney Sentenced for $8.7M Las Vegas Investor Scam

A court has given a 21-month federal prison sentence to a former Newport Beach attorney. This lawyer now disbarred, took almost $9 million from investors and spent it on a lavish way of life in Las Vegas.

Disgraced Lawyer Sentenced After Scam Funds Luxury Life and Las Vegas Binge Gambling

Sara Jacqueline King, 41, confessed to scamming five investors out of $8.7 million through her company, King Family Lending LLC, which no longer exists. The business claimed to give out loans with high interest rates, backed by expensive items from rich borrowers. However, these loans were never real. Prosecutors said King spent the money on a lavish lifestyle. This included staying at the Wynn Las Vegas for six months, buying fancy cars and designer stuff, and gambling nonstop.

During King’s sentencing in Santa Ana, US District Judge David O. Carter turned down a plea for a milder punishment, reported the Daily Mail. He cited the calculated nature of the scam and the profound feeling of betrayal that King’s victims felt. The judge highlighted the thorough planning behind the scheme. He noted the financial damage was considerable and that King had taken advantage of the confidence people had in her as a lawyer.

King stayed silent during the sentencing. Her lawyer, Sam Cross, claimed she battled addictions to alcohol, drugs, and gambling. He said her personal and work life had fallen apart, leaving her “starting from zero.” He asked for house arrest or a much shorter jail time, but the court said no.

‘Lady Mafia’ Lawyer Showed No Remorse, Gets Maximum Sentence

Assistant US Attorney Jennifer Waier argued for the maximum sentence, pointing out the boldness of the scam and King’s behavior even after she pleaded guilty. Waier mentioned a podcast interview where King, after owning up to her crimes, still called herself “Lady Mafia” and boasted she could “sell fire to the devil”, remarks Waier said showed a lack of regret.

One victim, a former friend of King’s ex-husband, wrote to the court about how King used her legal know-how to weave a complex net of deception. She created fake papers, changed photos, and promised non-existent assets to make investors feel safe. He said he lost more than just money – his ability to trust and his peace of mind were gone too.

People first learned about King’s actions in 2023 when LDR International, based in the British Virgin Islands, sued her for misusing over $10 million. Later, investigators found out that King had gambled away between $6 million and $7 million at the Wynn. The casino banned her after spotting her face on their cameras.Besides serving time behind bars, King must pay back every cent of the $8,785,045 she stole.