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Williamsville man indicted for defrauding local companies

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A Williamsville man faces up to 20 years in prison and a $250,000 fine if he’s convicted on a six-count indictment alleging he ran a loan scheme where at least one victim lost more than $300,000, U.S. Attorney William J. Hochul Jr. reported Friday.

Nicholas Mussolini, 30, who ran Preston Waters Corp., a company that stated it was able to obtain “large loans” for other companies, was indicted on charges of wire fraud after he allegedly told victim companies that a deposit was required to secure the loans on their behalf, according to Assistant U.S. Attorney Maura K. O’Donnell.

As a part of the scheme, Knob Hall Winery provided more than $400,000 to Mussolini as a deposit for a nearly $11 million loan.

Authorities allege instead of using the money to obtain a loan for the winery, Mussolini used it for “personal and other expenses, and to repay other victims of the fraud scheme.”

Mussolini’s indictment culminates an FBI investigation.

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