$1m Los Angeles 'fraudsters' arrested in Britain

Police in North Yorkshire, England have arrested a California couple for investigation of embezzlement, the U.S. Federal Bureau of Investigation reported.

Police in North Yorkshire, England have arrested a California couple for investigation of embezzlement, the U.S. Federal Bureau of Investigation reported.

British authorities in Harrogate arrested Anne E. Stacey, 46, and her husband Eric Harper, 36, on Thursday, said FBI agent James V. DeSarno Jr.

Stacey's 15-year-old son was attending school in Harrogate, he added, and has been placed in the custody of British social workers.

The Los Angeles couple was scheduled to face an extradition hearing Friday, FBI spokeswoman Laura Bosley said.

A federal grand jury in Los Angeles indicted the pair on July 13, charging them with conspiracy, mail fraud, deprivation of honest services and aiding and abetting in embezzling about $1m from a Santa Monica law firm.

The case involved Bailey and Marzano, where Stacey was office manager and administrator for 15 months.

DeSarno said Stacey allegedly forged the signatures of Patrick Bailey and Maryann Marzano on checks made payable to herself or Harper or to third parties and used the money to pay personal expenses and credit card bills.

She also made false entries into her firm's accounting books to make it appear the checks were for legitimate company expenses, DeSarno said. When she left her job in June she allegedly destroyed those records.