British Man Extradited to NYC Pleads Not Guilty in Massive $99 Million Wine Scam

A British man extradited to New York City faced charges related to a $99 million fraud scheme involving luxury wine. During his arraignment in Brooklyn federal court, James Wellesley pleaded not guilty to all charges.

Wellesley and his business partner, Stephen Burton, are accused of deceiving international investors, including those in New York, into believing they operated a legitimate wine business backed by a valuable stock of wine and a clientele of wealthy collectors. However, prosecutors allege that this was a façade. They reportedly secured nearly $100 million in fraudulent loans and used these funds to pay fake interest to investors and cover personal expenses. The fraudulent activities allegedly took place between June 2017 and February 2019 through their company, Bordeaux Cellars.

Wellesley, 58, was arrested in the UK in February 2022. He recently lost a legal battle against extradition after a London High Court determined that the majority of the fraud’s impact occurred in the U.S. On Friday, Wellesley was presented before U.S. Magistrate Judge Robert M. Levy, where he pleaded not guilty and was remanded until trial.

Burton, 60, has already pleaded guilty to similar charges after being extradited from Morocco, where he was found using a fake passport.

For more information, visit the Justice Department press release.

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