Ponzi scheme suspect released from jail

REDDING — A Santa Rosa man accused of carrying out an elaborate Ponzi scheme that swindled about 2,000 investors of approximately $200 million was released on bail Tuesday from Shasta County jail.

Jeffrey A. Guidi walked out of jail after members of his family posted $1 million bail Tuesday.

Family members, including Guidi’s sister, brother and sister-in-law, put up a $2 million real property bond secured by their homes and property in the Bay Area as collateral for Guidi’s bail.

Such property bonds must be twice the amount of the bail, said Robert Morgester, a deputy state attorney general prosecuting the case.

The equity in the family’s properties, which are in Hillsborough, Greenbae and Danville, exceeds $2 million, said Ted Cassman, a Berkeley attorney who represents Guidi.

Guidi, 53, of Santa Rosa, was arrested in May with partner Gary T. Armitage, 59, of Santa Rosa and James S. Koenig, 56, of Redding, following a 17-month state investigation into the alleged Ponzi scam.

Cassman claims his client was duped by Armitage and Koenig. Guidi has yet to enter a plea.

Armitage, a former financial adviser, and Koenig, who owned Asset Real Estate Investment Co., the Redding-based property acquisition firm at the heart of the alleged scheme, both have pleaded not guilty to 70 counts of securities fraud and residential burglary. They both remain in Shasta County jail in lieu of $5 million bail each.

A preliminary hearing for the trio may be set on Monday when they are due to return to court.

Meanwhile, Deputy Public Defender Michael Horan, who represents Koenig, said he plans to file a motion on Wednesday to try to release certain assets so his client can still pay “reasonable” living expenses for his family. That motion may also be considered on Monday.