Mahender Makhijani, a 44-year-old Indian-origin financier, is accused of defrauding Western Alliance Bancorp out of nearly $100 million.
He allegedly falsified title insurance policies to inflate the value of the properties he pledged to obtain loans against.
According to the New York Post, he is also accused of hosting sex parties and using them to put pressure on the attendees.
Makhijani was arrested from his Newport Beach mansion by gun-toting federal agents.
He faces a statutory maximum sentence of 30 years in federal prison if convicted.
The government official added that if convicted of the charges, Makhijani faces a statutory maximum sentence of 30 years in federal prison.
