HARTFORD -- The Brookfield man accused of participating in a scheme to rig bids on Fleet Bank's sale of distressed loans pleaded not guilty to the charges Tuesday in U.S. District Court.

A federal grand jury last week returned a 15-count indictment against Mayotte and Richard R. Girouard , a real estate developer and home builder from Norwalk.

Mayotte was arraigned before U.S. Magistrate Judge
Donna F. Martinez , who ordered him released on a $100,000 nonsurety bond after he pleaded not guilty.

Jury selection in the case has been tentatively scheduled for April 9.

The indictment alleges Girouard and his companies made about $6 million in profits from the scheme.

It also says Girouard and Mayotte engaged in another scheme to defraud an unwitting investor in one of the corrupt transactions with Fleet Bank (later Bank of America) out of more than $400,000, and that they conspired to launder that money.

Girouard operated Girouard Associates Inc. and Richard Girouard Associates LLC, federal prosecutors said. The companies were formerly located in New Canaan and are now in Greenwich.

Mayotte was the chief financial officer of Girouard Associates and a business confidant of Girouard, according to authorities.

The indictment alleges the two conspired with Kevin J. O'Keefe , a vice president at Fleet Bank in Hartford, and with Girouard's lawyer, Paul J. Aparo , to commit financial institution bribery, bank fraud, and money laundering.

Prosecutors allege the purpose of the conspiracy was for Girouard, Mayotte and others to enrich themselves through O'Keefe's position at Fleet Bank.

Among other things, they used the bank's confidential information to submit winning bids for distressed loan assets Fleet was selling. They concealed the conspiracy from the bank by creating companies to submit their bids.

In return for O'Keefe's assistance, federal prosecutors said the two men paid him and Aparo about $1.4 million.

Girouard appeared Friday before U.S. Magistrate Judge Donna F. Martinez in Hartford and pleaded not guilty to the charges against him and his companies.

O'Keefe and Aparo have been charged separately. Their cases are pending before U.S. District Judge Alvin W. Thompson in Hartford.

Assistant U.S. Attorney Eric J. Glover is prosecuting the case, and the
Federal Bureau of Investigation is investigating.

Contact Ethan Fry

at efry@newstimes.com

or at (203) 731-3477.