A Utah-based real estate developer, Aaron A. Wagner, 42, has been arrested on federal wire fraud charges following a controversial purchase of the old Missoulian building in Missoula. Wagner was apprehended last week by U.S. marshals after federal prosecutors accused him of misusing a portion of a $2 million investment intended for his restaurant business to buy a private plane.
According to the unsealed criminal complaint, the funds were raised from a Nebraska investment group, and the group’s head informed an FBI investigator that the plane purchase was unauthorized. The total cost of the plane exceeded $8 million, with $6 million financed through bank loans and $2 million allegedly drawn from Wagner’s restaurant investment accounts.
The complaint outlines a single count of wire fraud, a felony that carries a potential 20-year prison sentence. It suggests that Wagner’s diversion of funds for personal use is part of a larger pattern associated with his investment companies, including WagsCap Food. Wagner allegedly misled investors by showcasing a lavish lifestyle, including private jets and luxury vacations, to create the illusion of success while concealing that these displays were funded by stolen investor money.
Wagner had previously assured investors that their contributions would support real estate or restaurant ventures but instead redirected the funds to failing projects to hide his financial mismanagement. Originally from Canada and a former college football player at Brigham Young University, Wagner was one of three investors who purchased the former Missoulian building in 2021, planning to develop a multi-story housing project.
However, shortly after the purchase announcement, Wagner faced backlash for making offensive social media comments regarding local critics. He later described his remarks as “heinous” and attributed them to poor judgment after consuming alcohol. Following the incident, he stated he would take a back seat on the development project.
The building has remained empty since the Missoulian relocated. Wagner’s arrest comes amid circulating rumors about his alleged fraudulent activities, particularly regarding investments solicited for Hello Sugar, a restaurant chain. The complaint reveals that Wagner utilized a portion of the $2 million from investors to fund his personal airplane, leaving the investors with little to show for their investment.
Wagner is set for an initial court appearance before Magistrate Judge Daphne A. Oberg in U.S. District Court in Utah.