|Published:||Jul 06, 2011 9:46 PM EDT|
|Updated:||Jul 06, 2011 8:46 PM EDT|
LOS ANGELES (AP) - Authorities say three former PTA mothers used their connection with a suburban Los Angeles elementary school to recruit investors in a phony $14 million get-rich-quick scheme.
Lt. Steve Katz of the Los Angeles County Sheriff's Department said Wednesday the scam lasted more than two years before an irate investor complained last year, sparking an investigation.
Maricela Barajas and Juliana Menefee were arrested Tuesday on 22 felony charges, including grand theft and securities fraud. The third woman, Eva Perez, is already behind bars, serving a nearly 10-year sentence on grand theft charges related to a similar swindle.
Calls to the homes of Barajas and Menefee were not immediately returned.
Katz says the women told investors they had the exclusive right to sell dairy products at Disneyland and needed money to expand.
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