A Los Angeles lawyer, Sara King, is being sued for allegedly blowing through $10.2 million in company funds which were tied to fake loans she fabricated.
She is accused of falsifying millions of dollars worth of loans from LDR International Limited of the British Virgin Islands, according to a lawsuit filed on Feb. 11 in the Central District of California.
She Allegedly Concocted 97 Phony Loans And Used The Proceeds To Party And Gamble
According to the Lawsuit, King made 97 different loans between January 2022 and October 2022, from her own lending service. The money, which was supposed to go to borrowers however, never happened as all the loans were phony.
Instead, she checked into the Wynn Casino in Vegas and wasted the money on partying and gambling.
“King spent the majority of the funds loaned by Plaintiff to King Lending to gamble in Las Vegas, fund an extravagant lifestyle, and for other personal uses by King,” the lawsuit reports. “Plaintiff is informed and believes that King moved into the Wynn Las Vegas resort and hotel, lived there for six months, and gambled 24/7.”
She Claimed To Be Lending The Money To Sports Stars But She Fabricated The Collateral
To collateralize the loans, she allegedly mislead the lenders. She provided documentation from borrowers that showed they were putting up expensive luxury items to secure the loans.
The lawsuit spells out her scheme;
“The purported loans from King Lending to the third-party borrowers were purportedly secured by various forms of collateral, including but not limited to luxury automobiles, boats, yachts, jewelry, watches, precious metal coins, and the earnings from guaranteed professional sports contracts”
But no real collateral was ever put up, making the loans a complete loss.
She Posed With NFL Quarterbacks And Created A Highly Successful Image
To make the loans more believable, the lawsuit alleges that she created a high flying lifestyle. She even posed with famous quarterbacks Aaron Rogers, Tom Brady, Patrick Mahomes and Josh Allen at a celebrity golf tournament.
The lawsuit claims that she showed a “lavish lifestyle” including “jewelry and cars” and she tried to portray herself “as being a successful California licensed attorney.”
But during the time period of the spending spree she had lost her license to conduct these types of transactions.
Now She Claims To Have Less Than $12 In Her Name
Sara King is allegedly now near broke. In the lawsuit, they provide screen shots of her Bank of America account where she now claims to have only $11.98 in her name.
Her ex-husband has allegedly fled to Morocco and has backed the claim that she was involved in a “massive fraud”.
Read the Initial Lawsuit Here
You can read the lawsuit here