By Shayna Jacobs
DNAinfo Reporter/Producer
MANHATTAN FEDERAL COURT — The former owner of an Upper East Side jewelry company catering to celebrity clients like Sarah Jessica Parker and Nicole Kidman is facing fraud charges for allegedly deceiving investors out of millions, according to the U.S. Attorney's Office.
Ralph Esmerian, 70, was released after his arraignment in U.S. District Court in Manhattan on Monday afternoon. He allegedly lied about his assets to purchase upscale jewelery company Fred Leighton and fund his own business.
Esmerian was reportedly apprehended at his girlfriend's Tudor City apartment Monday morning.
In 2006, when he purchased Fred Leighton, which has boutiques on Madison Avenue and in Las Vegas, Esmerian deceived investors to obtain $217 million in loans, prosecutors charged.
He "lied and looted" so he could trick lenders and steal from investors, U.S. Attorney Preet Bharara said in a statement.
He also stole about $1 million of the proceeds from the sale of a diamond brooch, according to the charges.
He was charged with bankruptcy fraud, concealment of assets in connection a bankruptcy proceeding, and wire fraud, according to the complaint.
He faces up to 30 years in prison if convicted of the top charge.
