Two brothers accused of swindling investors in a Utah ski and golf resort project appeared in court Monday.
Marc Jenson, 51, and Stephen Jenson, 46, face a combined 19 counts of communications fraud, money laundering and other charges stemming from the ill-fated Mount Holly Ski and Golf Resort in Beaver County. The project fizzled in 2009 after the Utah Supreme Court sided with an opposition group that demanded a public vote on the proposed $3.5 billion development.
On Monday, Judge Sandra Peuler granted a request by Marc Jenson’s attorney to withdraw from the case during a hearing in Salt Lake City’s Third District Court. She ordered Jenson be appointed a public defender.
A status conference has been scheduled for Feb. 21 as their cases inch toward a possible preliminary hearing. Charges were filed against the brothers last August following an investigation by the Utah Attorney General’s Office.
More than $2.7 million was raised for the Mount Holly project, according to a probable cause affidavit. Authorities say Marc Jenson failed to tell his investors about the numerous lawsuits filed against him or his past criminal history, which includes a 2005 fraud case where he agreed to pay $4.1 million in restitution as part of a plea deal.
Prosecutors allege the Jenson brothers used a large portion of the investor’s funds for personal use and to pay down pre-existing debts. They also say the brothers used a series of bank transactions designed to hide where the money was coming from and who it belonged to.
When the Mount Holly property was foreclosed on in 2009, investors lost their money. One couple cited in the affidavit claims they invested $1.5 million. Another says he lost more than $500,000, forcing him to shut down his small real estate loan company.
Marc Jenson currently is in prison on his prior conviction, according to the Utah Department of Corrections website. Last November, a judge sent Marc Jenson to prison for not paying back the $4.1 million in restitution he agreed to in the 2005 case.
Stephen Jenson is free on $250,000 bond.
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