A 57-year-old Utah man pleaded not guilty yesterday to charges he ripped investors of more than $30 million and then transferred more than $20 million to accounts in Switzerland and Malta.

He had promised to invest the money in hedge funds allegedly run by a Malta-based trader.

Online media reports stated that Thomas Repke, of Salt Lake City, was released on bond but ordered, once he returns to Utah, to wear an ankle monitor and be confined to his home unless he goes to work.

The reports said that Mr Repke, together with co-defendant James Jeffrey, 58, of Ontario, defrauded more than 100 investors and used an escrow account in Atlanta to carry out the scheme, prosecutors said.

Assistant US Attorney Justin Anand said most of the money transferred abroad was essentially lost.

The fraud scheme was carried out between January 2006 and December 2007 by operating Coadum Capital, according to the federal indictment.

Coadum attracted investors by offering shares in hedge funds and advertising monthly returns of about five per cent.