SC builder charged in $2.4M fraud asks for lower bail. Judge revoked it instead.
A South Carolina home builder accused of taking millions from 20 families on unfinished homes near Lake Wylie asked a York County judge last week to drop his $1 million bond.
But Judge Dan Hall didn’t lower Christian Joseph Novellino’s bail — he canceled the bond instead.
Prosecutors say for years Novellino orchestrated a $2.4 million scheme to take money without finishing homes on the same properties the home builder sold twice on three occasions, Judge Hall told a packed courtroom at the Moss Justice Center on Feb. 22.
Present were families who allegedly lost as much as a $200,000 or more.
“There is a lot of money involved,” Hall said. “I am going to revoke all bonds ...The business model that has been presented is a danger to the community.”
Novellino, 49, of Clover, has been in jail for almost three months since charges were filed. After more people came forward at the end of 2023, he faced 20 charges from alleged frauds from the past few years. His bail originally was set by a lower court magistrate at $1 million — $50,000 per count.
Novellino had the legal right to ask a South Carolina Circuit Court judge to lower the amount.
Prosecutor: Lives were shattered
More than 20 people who identified as victims stood in court late Thursday when 16th Circuit Solicitor Kevin Brackett asked them to be recognized. Most had invested in property near Lake Wylie where they had contracted with Novellino, Brackett said.
The area near Charlotte is one of the fastest-growing in South Carolina.
“These are people whose lives have been devastated,” Brackett told Judge Hall. “Their lives are shattered.”
Novellino took people’s money to build houses where little or no work was done, Brackett said. Amounts range from around $50,000 to over $200,000 in the 20 cases, according to Brackett and arrest warrants in the cases obtained by The Herald.
The 20 charges total $2,440,311.37 in lost money, arrest warrants show.
Most victims will likely will never see the money they gave Novellino to build dream homes, Brackett said.
Brackett read the property addresses from the arrest warrants in court so Judge Hall could hear that Novellino allegedly sold three of the properties twice.
Where’s the money?
More, investigators and forensic accountants from the FBI and York County Sheriff’s Office have not been able to find the $2.4 million that Novellino took as deposits, Brackett said.
The money could be offshore in banks or even buried in the ground waiting to be unearthed, Brackett said
“We have concerns about him getting out and accessing the money,” Brackett said. “The money evaporated — it went up in smoke.”
Novellino has felony convictions from a decade ago for a similar scheme in which he received probation, Brackett said. The current charges carry up to 10 years in prison for each conviction under South Carolina law.
Burton Carey, who says he’s a victim, was asked by others deceived to speak on their behalf about concerns Novellino could flee if released, he told Judge Hall.
Defense lawyer: Builder did not pocket money
Novellino has not been convicted of any charge against him on the 20 current cases. During a December hearing, Novellino denied the allegations.
His lawyer, John Mussetto of Greenville, said in court Novellino “did not pocket the money,” and denies wrongdoing.
Mussetto claimed Novellino would take a deposit from clients, and use most of the money to buy the land, then use money for construction preparation.
“He is a bad businessman, yes, but was only paid when a project closed,” Mussetto said. “He had no intent to take these people’s money.
Mussetto argued Novellino is neither a flight risk nor a danger to the public if freed on bail, adding that there is “no tin can buried in the yard” with the money.
What happens next?
Novellino remains in the York County jail pending trial. No date has been set.
The cases have not yet been presented to a York County grand jury for indictments, Brackett said. Prosecutors must have indictments for any cases to go to trial.
This story was originally published February 26, 2024 at 1:54 PM.
