The first of three men who fled the United States to avoid prosecution in an alleged $100 million mortgage Ponzi scheme has been arrested in Spain, federal authorities confirmed Tuesday.
Garrett Griffith Gililland III, 27, fled to Europe after federal authorities served a search warrant at his million-dollar home in Chico last June. He was later indicted by a federal grand jury.
According to court documents, the FBI had tracked Gililland to Spain by last fall. In October, a source in Spain told agents he was supposed to receive a package for Gililland. On Oct. 10, 2008, FBI agents intercepted the package at a FedEx Kinko's store in Sacramento and found $20,000 in cash inside.
On Oct. 16, Gililland was arrested in Sitges, Spain, which is a suburb of Barcelona. Acting US Attorney Lawrence Brown told News10 his office had been working quietly for months to return Gililland to California, but that he was fighting extradition.
Gililland's wife, Nicole Magpusao, 29, was indicted on 27 of the same 30 criminal charges facing her husband. A spokeswoman for the US Attorney's office said Magpusao is also facing extradition from Spain, but was not in custody.
Gililland was the first of three men to face charges in connection with Roseville-based Loomis Wealth Solutions, described by an IRS investigator as a real estate Ponzi scheme involving 500 properties in five states with losses estimated at $100 million.
