REDWOOD CITY -- A former San Mateo County real estate broker faces dozens of fraud charges after fleecing three clients, including an accomplice's relative and a friend, out of more than $803,000, a prosecutor said Monday.
Andrew Abed Khoury, 42, who worked out of Daly City but moved to Arizona City, Ariz., pleaded not guilty Friday in San Mateo County Superior Court to 36 counts of real estate fraud. Between May 2006 and May 2012 he used the ruse of real estate investment to scam three people, said District Attorney Steve Wagstaffe. Cindy Teahan, who is a co-defendant in the case, said one of the victims was her mother-in-law.
Teahan, 47, of Pacifica, faces six felonies, including three counts of falsifying documents, in connection with the fraud. Prosecutors say she worked at several escrow companies and knew Khoury after doing a lot of business with him.
"I didn't know a thing about it. I didn't forge any documents," Teahan said.
The purported scams vary between the three victims. In one case, Khoury convinced a 59-year-old female friend to refinance her two houses and then give the proceeds to him for a "real estate investment," Wagstaffe said. She lost $511,215.
In another, he's accused of talking Teahan's 83-year-old mother-in-law into handing over $202,000 she made from selling her house. Wagstaffe said the woman lived in a seniors home and was in poor health -- a description Teahan refuted.
During a final instance, Khoury is accused of convincing a 74-year-old man to give him $100,000 to invest. He told the man the money was secured by a "deed of trust" in a secure property, but it wasn't, Wagstaffe said. Instead, the man's cash purportedly went to pay down Khoury's credit card bills.
Khoury was being held at San Mateo County Jail in lieu of $1 million bail. He's due back in court June 12, said Wagstaffe. Defense attorney Majeed Samara declined to comment on the case.
Teahan is out of custody on $100,000 bail, but it wasn't immediately clear when she was due in court.
Contact Joshua Melvin at 650-348-4335. Follow him at Twitter.com/melvinreport.