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NY judge jails wife in Massachusetts fraud scheme

May 15, 2014

NEW YORK (AP) — A New York judge has jailed the wife of a fugitive who’s charged in Massachusetts in a billion-dollar pyramid scheme.

Katia Wanzeler was denied bail on Thursday in federal court in Brooklyn.

Wanzeler was arrested on Wednesday night while trying to board a flight to Brazil at Kennedy Airport.

Prosecutors told the judge that the 49-year-old Wanzeler’s husband fled the United States in April after his internet phone service business was raided. They said she had been subpoenaed to appear before a grand jury next week in Worcester.

Authorities obtained an arrest warrant after learning Wanzeler had bought a one-way plane ticket to Rio de Janeiro. Her lawyer said Friday that she had no reason to flee and was planning to return at the end of the month.