Newport Beach Attorney Sentenced in $8.7 Million Fraud Case: A Stark Reminder of the Stakes in White Collar Crime
A Newport Beach attorney who used her legal credentials and business connections to orchestrate a multimillion-dollar fraud scheme has been sentenced to federal prison. On May 20, 2024, Sara Jacqueline King, 41, received a 21-month sentence from U.S. District Judge David O. Carter after pleading guilty to wire fraud and money laundering in the case U.S.A. v. Sara Jacqueline King, Case No. 8:23-cr-00079-DOC.
King, the founder of King Family Lending LLC, promised investors high-interest returns through loans allegedly made to professional athletes, celebrities, and other high-net-worth individuals. But prosecutors revealed the truth: the loans were fictitious, and the $8.7 million raised from investors was used to fund King’s lavish lifestyle.
Court filings detail how King spent six months living at the Wynn Las Vegas resort, where she used investor funds to gamble extensively. She also purchased luxury goods, including a $132,156 Porsche Taycan electric sports car. According to prosecutors, King forged bank statements, fabricated documents, and even created fake photos of cars and high-end watches to maintain the illusion that investments were backed by collateral.
Victim Impact: A Deep Betrayal of Trust
One of the most powerful moments during the sentencing phase came from a letter submitted by investor Laurent Reiss, who was personally and financially devastated by the scheme.
“The woman who scammed me is a lawyer, someone who should have upheld the law—not used her legal knowledge to destroy the lives of those who trusted her,” Reiss wrote. He described the “immense pain, betrayal, and devastation” caused by King’s actions, citing “lies, manipulation, forgery, and emotional cruelty.”
Reiss explained that King was not only a lawyer but also married to a longtime friend, further deepening the betrayal. He outlined how she presented forged paperwork for non-existent vehicles and created false documents to mislead victims about the safety and legitimacy of their investments.
Defense and Fallout
King’s attorney argued that her actions were driven in part by struggles with alcohol, drugs, and gambling addiction, and emphasized that she had been “humbled” by the proceedings and “has lost everything.” Notably, King chose not to speak at her sentencing hearing.
The fraud first came to light in early 2023 when British Virgin Islands-based LDR International Limited filed a civil lawsuit against King, alleging breach of contract, fraud, and theft. She was later suspended by the California State Bar in July 2023.
Legal Perspective: What This Case Reveals About White Collar Crime Defense
This case illustrates the severe consequences of white collar crimes—and how the misuse of professional status can result in enhanced scrutiny and penalties. When lawyers or fiduciaries are involved, courts may view the breach of trust as especially egregious.
At Wallin & Klarich, we understand the high stakes involved in white collar criminal cases. Allegations of fraud, embezzlement, or money laundering can ruin reputations and careers. But every defendant has the right to a fair trial and a robust defense. Addiction, mental health issues, and personal circumstances are often key factors in mitigation and sentencing, and a knowledgeable defense attorney can ensure these aspects are properly considered.
Contact Wallin & Klarich Today
If you or someone you know is under investigation or facing charges for a white collar offense, you need to contact an aggressive defense attorney to fight for your freedom. With 40+ years of experience, our attorneys at Wallin & Klarich have helped many clients ensure they receive a fair trial in their criminal defense cases. We know the most effective strategies to argue on your behalf, and we will do everything in our power to help you achieve the best possible result in your case.
At Wallin & Klarich, we have offices all over Southern California: Irvine, Pasadena, Riverside, San Bernardino, San Diego, Torrance, Victorville, and Anaheim. Additionally, our law firm can handle many types of cases statewide.
Discover how our team can assist you. Contact us today, toll-free at (877) 466-5245 for a free consultation with a skilled defense attorney near you.
