Westbrook man accused of bilking seven investors

A Westbrook man accused of bilking investors out of $78,000 after he was fooled in an overseas investment scam appeared in federal court in Portland on Monday.

Todd Denson, 46, has been charged with wire fraud. If convicted, he would face up to 20 years in prison and a $250,000 fine. He was released on bail by U.S. Magistrate Judge David Cohen.

Assistant U.S. Attorney Donald Clark said Denson told investigators that he sent $60,000 overseas in order to gain millions in an African investment scheme. He told investigators that he contacted other investors for more cash he thought he needed to get possession of the money.

Clark said that in order to convince potential investors to give him money, Denson fabricated a series of stories to attract them. Those stories, Clark said, included a multimillion-dollar inheritance from his long-lost father and a fortune he made designing window-washing equipment.

Denson's lawyer, Joel Vincent, said he did not know anything about the case except the government's allegations. He said Denson had been cooperative with investigators and turned himself in for arrest when they asked him.

"It sounds to me that he was a victim, and he tried to get funds to realize his dream of collecting the money," Vincent said. "But I have no personal knowledge of that."

According to an affidavit filed in U.S. District Court in Portland, Denson bought a classified ad in the business section of the Portland Press Herald last October, that said "Local Business Person in search of a private investor."

The ad promised a $20,000 return on a $40,000 loan, payable in 48 hours. A man, not named in the affidavit, contacted Denson and met with him. Denson told him that he was the owner of Window Wizards, a window-washing company, and had made millions inventing and patenting window-washing equipment. The man said Denson told him he needed the $40,000 to "release" more than $9 million he kept at the "Intercontinental Bank" in England to avoid U.S. taxes.

The man said he wired the bulk of the $40,000 to an address in England and gave Denson the balance in cash. When he wasn't paid back, he contacted the U.S. Secret Service.

According to the affidavit, Special Agent Martin Conley contacted Denson and asked him about the transaction.

In a series of conversations, Denson told him that he had millions, which he made through investments, in offshore accounts. Conley said Denson would not describe the investments initially, but later said that they derived from an e-mail he received saying he was entitled to $9 million if he agreed to forward a $1,000 transfer fee to an address in Ghana.

Denson told Conley that after he had sent $60,000 of his own money, he had used up all of his assets. He was instructed to send $36,000 more to complete the deal.

He solicited money from seven people including his ex-wife for a total of $78,000.

In March, Denson met with an undercover Secret Service agent wearing a microphone. Denson told him that he had $9 million in overseas investments from his business, which sold heavy equipment for construction. He said he needed a $30,000 loan for up to 10 days.

When he was confronted by the agent, Conley said, Denson said he wanted the money to "further finance his investment in Africa."

Clark said that Denson has operated a window-washing business, but has since sold it. Clark said that before his arrest last week, Denson had no history of financial crimes.

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