Fountain Valley Vintage Car Dealer Pleads Guilty to Embezzlement

Originally posted Wednesday, 3:43 p.m.

The owner of a now-defunct vintage and rare car business in Fountain Valley pleaded guilty today to embezzling nearly $178,000 from a dozen victims and was immediately sentenced to 16 months in custody.

John Calicchio of Costa Mesa, who turns 64 on Thursday, will serve the rest of his 40-month sentence under mandatory supervision under terms of the plea bargain approved by Orange County Superior Court Judge Gerald Johnston.

If Calicchio violates any terms of his supervision, he risks serving the rest of his time behind bars, Johnston told the defendant.

Calicchio intends to apply for home confinement or to serve his time behind bars in a city jail, according to his attorney. That was not part of the plea bargain and is left up to the discretion of the Orange County Sheriff's Department, according to the prosecution and defense.

The judge also ordered the defendant to pay $177,914.25 in restitution to the victims, most of whom were buyers or sellers. Two of them had commissioned Calicchio to acquire and restore a vintage Porsche, said Deputy District Attorney Chuck Lawhorn.

Calicchio is sorry for his crimes, defense attorney Jake Brower said outside court.

"He has great remorse for the people who lost money and is very sorry for what they went through," Brower said.

Calicchio closed his business in October 2011 and declared bankruptcy in what prosecutors said was an attempt to avoid debts owed to the owners of the vehicles he sold on consignment.

As owner and operator of EuroMasters Classic Cars in Fountain Valley, Calicchio sold vintage Porsches worth $25,000 to $47,000 on consignment, diverting the proceeds to his personal and business accounts, Lawhorn said.

The buyers could not obtain legal titles for the vehicles because the owners holding the titles had not been paid, Lawhorn said. Two victims paid for a vehicle and were sued by the seller as they disputed ownership, the prosecutor said.

Calicchio pleaded guilty to 10 counts of embezzlement, six counts of money laundering and two counts of diversion of funds, all felonies, and also admitted a sentencing enhancement for loss more than $200,000.

Five felony counts of grand theft were dismissed as part of the plea.

Calicchio would have faced up to 16 years and four months in prison if convicted at trial, Johnston said.

Some of Calicchio's victims received a portion of their losses back through an insurance claim on the defendant's business bond, Lawhorn said.   

- City News Service