Lindon man accused of Ponzi scheme, murder plot

SALT LAKE CITY — A Lindon man accused of running a multimillion-dollar Ponzi scheme and then trying to persuade a jail inmate to kill his investors was arraigned in federal court Monday.

Jeffrey Lane Mowen, 47, entered a plea of not guilty before U.S. Magistrate Judge Samuel Alba. The judge ordered Mowen to remain in the Davis County Jail. A trial date is set for Jan. 11.

A six-count superseding indictment entered against Mowen in November includes charges of solicitation to commit a crime of violence, witness tampering, retaliating against a witness and wire fraud.

Mowen was indicted on a wire fraud charge in April in an investment scheme he was allegedly running from 2006 to 2008. It involved two primary investors who were told Mowen was a successful trader in foreign currency and involved in an international real estate leveraging program. Authorities say investors lost about $18 million.

Mowen perpetuated the alleged fraud by trying to appear wealthy through buying "over 200 high-end antique, classic and modern vehicles, including cars, trucks, trailers, motorcycles, three-wheelers and other vehicles," the indictment states. He is also accused of using investor funds to pay himself and his wife and to pay for food, travel and credit-card expenses.

When Mowen's investors stopped receiving returns, the indictment states, Mowen told them that he put the money into gold certificates that couldn't be liquidated until later and that he planned to invest the cash and gold certificates in a New Zealand bank. The bank was later revealed to be a shell company that lacked banking capabilities.

Mowen was arrested in Panama in May 2009 and flown back to Utah, where he was jailed. Prosecutors say he then spent two months trying to persuade his cellmate, who was scheduled to be released last month, to kill two major investors and two others. Prosecutors believe Mowen was hoping to keep them from testifying against him.

If convicted, Mowen would face a maximum sentence of more than 90 years in prison and fines of more than $1 million.

e-mail: emorgan@desnews.com