Police say Joe Schiavone Jr. took $100,000 from multiple victims, many looking to buy a home. But the deals fell apart and some of the would-be homebuyers say they never got all their money back despite repeated promises.
An undercover detective investigating the case for North Palm Beach Police told us, "The bank records show that he was paying off previous victims from the new victims' money that was coming through," the detective explained.
After we exposed the trail of problems with Schiavone Jr., the state attorney charged him with grand theft and money laundering in one victim's case.
Today, he appeared in court to face the charges.
“I did lose my business. I don't know if they are criminal activities,” Schiavone Jr. said. “If there are civil or moral obligations I tend to make payments on those and not because of the threat of criminal activity.”
Schiavone Jr. has told us that before, even sending a text message that he'll repay one of his former clients $10,000, but she says she hasn't seen a dime.
Police continue to investigate. The state is asking for seven years behind bars. A trial is expected in February.