Santa Ana, California — A Hawaii man was sentenced Wednesday to four years in federal prison after defrauding an elderly Orange County resident out of nearly $2 million, a scheme that ultimately left the 79-year-old victim homeless. Federal prosecutors said John Tamahere McCabe, 42, used deception and forged documents to seize control of the victim’s assets, including a yacht and a condominium in Irvine.
According to court filings, McCabe falsely claimed he would sell the victim’s 44-foot Tiara yacht, docked in Newport Beach, and transfer the proceeds to him. Instead, prosecutors said McCabe used fabricated paperwork to place the yacht in his own name, sold it, and diverted the proceeds into his personal bank account. The victim, a widower with no family support, was unaware the transfer had occurred.
McCabe also persuaded the victim to move ownership of his Irvine condominium into a limited liability company that McCabe controlled, claiming it would protect the property and provide tax benefits. Without the victim’s knowledge, McCabe designated himself the sole manager of the LLC and took out roughly $1 million in loans against the property. After defaulting on those loans, the condominium was sold at foreclosure.
During sentencing at the federal courthouse in Santa Ana, the judge ordered McCabe to pay $1.8 million in restitution. Defense attorneys said McCabe accepted responsibility, expressed remorse, and had already repaid $150,000 prior to sentencing. Court records note the victim lost both his primary residence and financial security as a result of the fraud.
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