He Ran a $35 Million Scam — Then Tried to Evade the FBI Using an Underwater Scooter

A California man who tried to evade authorities by riding a scooter underwater into a lake pleaded guilty in connection with a $35 million fraud scheme. 

Matthew Piercey, 48, pleaded guilty to wire fraud, concealment money laundering and witness tampering after prosecutors said he solicited investor funds and used the money for personal expenses, according to a news release from the U.S. Attorney’s Office for the Eastern District of California.

Between July 2015 and August 2020, Piercey used the money he stole for various business and personal expenses, including paying a criminal defense firm and the purchase of two residential properties, according to the U.S. Attorney’s office. 

When FBI agents tried to arrest Piercey in November 2020, he evaded arrest and led agents on a vehicle chase through a residential neighborhood and onto the highway before abandoning the vehicle and entering a lake with a scooter, prosecutors said. 

The underwater device was later identified as a Yamaha 350LI underwater submersible device, according to ABC News. “Piercey spent some time out of sight underwater where law enforcement could only see bubbles,” federal prosecutors wrote in court documents, per the outlet. 

The scooter, often used by divers, is a motorized device that pulls users underwater at about 4 mph, according to Water Sky Sports, a company that sells the device for around $530. 

After about 20 minutes, Piercey emerged from the water where he was then arrested by FBI agents, according to the statement. 

After his arrest, Piercey used coded language with two people who visited him in jail and told them to “take actions” with contents in his U-Haul storage locker, according to the Justice Department statement. An FBI search of the locker turned up a wig and ₣31,000 in Swiss francs — about $37,000.

“Many invested their life savings with Matthew Piercey’s companies, not knowing that the claim of guaranteed returns were the empty promises of a Ponzi scheme,” FBI Sacramento Special Agent Sid Patel said. “The FBI agents, forensic accountants, and other specialized personnel work tirelessly to ensure those who exploit the trust of a hopeful public will face serious consequences.”

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Piercey paid back $8.8 million of the $35 million invested, according to the statement from the U.S. Attorney’s Office. 

Piercey is scheduled to be sentenced on Sept. 4, 2025, per the statement from the U.S. Attorney’s office. He faces a maximum penalty of 20 years in prison and a fine up to $250,000 or twice the gross gain or loss for each wire fraud and mail fraud.