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http://www.chron.com/disp/story.mpl/metropolitan/7012295.html

Prison for Houston man who ran eBay hot tub scam

By MARY FLOOD Copyright 2010 Houston Chronicle

May 19, 2010, 11:43AM

A Houston man who pretended to sell hot tubs on eBay but instead took $191,000 from 46 customers and spent it on strip clubs, pricey cigars and vacations was sentenced to 30 months in federal prison this morning.

Steve Todd Lanni pleaded guilty to wire fraud for a scheme he ran through his business, Factory Direct Spas on Old Katy Road. This morning he asked for forgiveness from family and victims but also said he tried to start a legitimate business but it got away from him.

U.S. District Judge Keith Ellison sentenced him to pay make $191,000 restitution to his victims when he is released from prison.

Prosecutor Vernon Lewis presented victims from Tennessee and Connecticut; both men said they paid for hot tubs and want their money back. One said he hated testifying in court but wanted to see the man who stole from him eye to eye. “You can't just keep the money and go party and have a good time with other people's money,” said one unhappy customer.

Lanni was selling hot tubs on the Internet at up to 70 percent below retail from 2004 through 2006, collecting the money but not delivering the goods. Prosecutors said he used a number of excuses, including that hurricanes Katrina and Rita disrupted his business.

Lanni used the money to pay for a lavish lifestyle, including trips to Hawaii, London, Miami and Las Vegas, for visits to strip clubs and for expensive cigars, clothing, massages and dining at fine Houston restaurants, spending up to $300 per day for dinner, according to prosecutors.

“There is nobody to blame but me for this,” Lanni told the judge this morning. He apologized for the lies he told to get people to send him money.

Lewis told the judge that though Lanni may say he was trying to start a legitimate business, it was as early as 2004 that he had an employee place fake bids on eBay to artificially drive up the prices.

Defense attorney Tom Berg asked for a sentence of two years in prison and said his client didn't set out to commit fraud.

Customers began to complain to the Houston Police Department and, working with the FBI Cybercrimes Task Force, they made a case with complaints from around the nation.

mary.flood@chron.com

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it's too bad, I WAS a member on dont promote other sites BUTTTTTT - all I did was post the same news and asked - you know like what the ????? - and added that I hoped it wasn't true - - - - like I am interested in a rebuttal or a disclaimer - - - - BUT guess what - - - I have been banned and the time limit on the ban is I can never sign into their site ever again. I have been "banned". Oh well >>>>>>>>>>>>>>>>>

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I believe dont promote other sites predicted life on mars... ahahahahahahahahahahaaaaaaa. more like life in prison. another failed prediction. We have been DATE RAPED again. not so funny. Oh well, i bet ya he learns his lesson. well, its a non violent crime. minimum security lockdown. He will be A-OK.

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