In the following press release the Connecticut Division of Criminal Justice announced that a Salem businessman already facing felony charges in New London Superior Court was arrested today and charged in two additional warrants with cheating a friend into investing in a fictitious company and stealing money paid by another person for a real estate appraisal.

Steven Gurnee, age 37, of 108 Stone Wall Street, Salem, is charged in the first warrant with one count of Larceny in the First Degree, five counts of Securities Fraud and one count of Issuing a Bad Check.

He was arrested by Inspectors from the Financial Crimes Bureau in the Office of the Chief State’s Attorney. All of the charges are felonies.

According to the arrest warrant affidavit, Mr. Gurnee convinced a friend to invest and reinvest $50,000 in an entity named CityWide Investments, LLC, a fictional company created by Mr. Gurnee as part of a scheme to defraud the investor. On August 31, 2009, according to the warrant, Mr. Gurnee issued a check for $10,300 to the investor that was returned due to insufficient funds.

The second arrest warrant served today charges Mr. Gurnee with two counts of Larceny in the Third Degree for failing to pay a real estate appraiser the $2,900 Mr. Gurnee had received from the prospective buyer of a Michigan property.

In addition to these charges, Mr. Gurnee has felony cases pending in New London Superior Court for the alleged theft of a large amount of money from a severely disabled individual and the alleged sale of unregistered securities.

The charges against Mr. Gurnee are merely accusations, and he is presumed innocent unless and until proven guilty beyond a reasonable doubt.

Mr. Gurnee was arraigned today in New London Superior Court before Judge Susan B. Handy who set bond at $500,000 cash or surety for each warrant for a total bond of $1 million cash or surety. The case was continued until February 17, 2010.

The case is being prosecuted by the Financial Crimes Bureau in the Office of the Chief State’s Attorney.