Stockton Springs man faces 13 counts of fraud over investment scheme

Posted July 19, 2010, at 10:57 p.m.

BANGOR, Maine — A Stockton Springs man who spent more than a year in federal prison for soliciting funds to invest in an international scam pleaded not guilty Monday in federal court to 13 counts of wire fraud in what prosecutors have called a similar scheme.

Todd Denson, 50, originally was indicted in May on two counts of wire fraud. He allegedly was asking people for money that he sent overseas. Denson told people that he needed money to gain access to millions he had in foreign bank accounts, according to court documents.

The first indictment cited two wire transfers totaling $4,700. The new indictment, dated July 13, cited 11 additional wire transfers totaling $20,383, including the amount cited in the original indictment.

Information about what led to the additional charges was not available Monday.

U.S. Magistrate Judge Margaret Kravchuk ordered that Denson continue to be held without bail, as he has been since his arrest in April. He scheduled to be tried on all 13 counts in September.

Denson appears to be a victim of a well-known Internet monetary fraud as well as someone who has tried to swindle money from people in Hancock, Waldo and Knox counties since he was released from prison in May 2008, according to court documents. He was sentenced on June 7, 2007, in federal court in Portland to 18 months in federal prison after pleading guilty to seven counts of mail and wire fraud. Denson admitted to bilking several Cumberland County residents out of nearly $80,000.

His problems apparently began in 2006, when he fell for a fraudulent Internet scheme out of Ghana, according to previously published reports. The owner of a successful window-washing business in Portland, Denson sent $60,000 to the African nation after being told he could get a $9 million inheritance.

After he ran out of his own money in 2006, Denson used a variety of stories to get additional funds from seven so-called investors and wired the money overseas in hopes of getting the millions promised. In all, he bilked seven people out of nearly $80,000, but only four sought restitution, according to court records. He still owes $58,600 to those victims, according to court documents.

It was unclear Monday how many people might have been victimized by Denson’s most recent alleged activities, although three victims were identified in the original indictment.

If convicted on the new charges, Denson faces up to 20 years in prison and a fine of up to $250,000.

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