NEW YORK: James Wellesley, a 58‑year‑old British national also known as Andrew Fuller, was extradited from the United Kingdom and arraigned today in Brooklyn federal court on wire fraud, wire fraud conspiracy, and money laundering charges related to a nearly ₹825 crore ($99 million) Ponzi-style wine investment scheme, according to the U.S. Attorney’s Office in the Eastern District of New York.
Prosecutors allege that between June 2017 and February 2019, Wellesley and co-defendant Stephen Burton lured investors with promises of lucrative loans backed by rare wine collections, including Burgundy’s Domaine de la Romanée‑Conti and Bordeaux’s Château Lafleur. But the wine collateral was largely imaginary, and Bordeaux Cellars held just a tiny fraction of the 25,000 bottles claimed—only 217 were available by March 2018.
Scheme Collapses as Investors Seek Returns That Never Materialised
According to court filings, Wellesley and Burton diverted new investor funds to pay earlier backers, financing lavish personal expenses in a classic pyramid structure. When promised interest payments stalled, the scheme unravelled.
During his arraignment before Magistrate Judge Robert Levy, Wellesley pleaded not guilty and was remanded to custody without bail. Co-defendant Burton was similarly detained and also pleaded not guilty after his extradition from Morocco in late 2023.
International Fraud, Strong Response from U.S. Authorities
Powerful Message Sent to Global Swindlers
U.S. Attorney Joseph Nocella underscored that the case “sends a message to all perpetrators of global fraud schemes” and reaffirmed that transnational financial crimes will be vigorously prosecuted..
Legal Battle and British Extradition Precedent
Under the 2003 UK–US Extradition Treaty, Wellesley fought the extradition but lost in Britain’s High Court, which ruled that most of the alleged fraud occurred in the U.S. and that he should face trial alongside Burton. Wellesley may appeal to Britain’s Supreme Court, but for now, he remains in U.S. custody.
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What Comes Next?
The defendants face up to 20 years in prison if convicted. A business-and-securities fraud task force, backed by the FBI and HSI, will lead prosecution. Investors defrauded by Bordeaux Cellars have been urged to come forward to assist in the asset recovery process.
As courts move ahead, this case highlights vulnerabilities in alternative investment schemes and reinforces the U.S. judiciary’s commitment to prosecuting cross-border financial crimes.
About the Author – Sahhil Taware is a B.Sc. LL.B. (Hons.) student at National Forensic Sciences University, Gandhinagar, with a keen interest in corporate law and tech-driven legal change.