The owner of an Annapolis-based surrogacy company has been arrested by the FBI in Florida, and charged with federal wire fraud in an attempt to defraud and deceive his clients, according to the Department of Justice.
If convicted, 37-year-old Greg Blosser of Tampa, Florida, owner of The Surrogacy Group LLC, faces a maximum of 20 years in prison, a DOJ news release said.
According to charging documents, a Baltimore-based FBI agent documented seven victim accounts, including one from Maryland. Blosser was charged with knowingly conducting a scheme to receive money from his customers under “a means of false presentations and promises,” the documents state.
Blosser was arrested Monday and the federal criminal complaint was announced Thursday by U.S. States Attorney for the District of Maryland, Robert Hur, and acting Special Agent in Charge Jennifer Moore of the FBI Baltimore field office.
He is represented by Florida Public Defender's Office which was unable to be reached Thursday evening.
“The allegations in this case are especially egregious because they involve someone taking advantage of individuals who are trying to become parents,” Hur said in the news release. “Criminals who line their pockets through such heartless deceit will be held accountable.”
Blosser had an initial appearance in U.S. District Court in Miami on Tuesday and was ordered to be detained pending a detention hearing scheduled for Friday, according to the news release. He is expected to have an initial appearance in Maryland later this month.
Maryland Attorney General Brian Frosh filed two civil charges against the Annapolis company on April 23, claiming it charged aspiring parents large amounts of money to connect with surrogates, handle evaluations and paperwork and provide guidance, but failed to follow through on services.
The charging documents detail seven victims’ experiences with Blosser and his company. One of the victims is from Maryland and began to work with Blosser in 2016 to locate a surrogate. The victim then paid nearly $30,000 in installment fees but Blosser’s initial surrogates were not suitable, according to the charging documents.
Once a candidate was found, the husband of the victim put $25,000 into an escrow account for expenses, including a monthly payment of $3,000 to the surrogate, according to the charging documents. Payments were not made to the surrogate and the victim emailed Blosser saying he will be held accountable for the late payments.
“This is unacceptable behavior on your part,” the email stated.
Other victims accounts were from Australia, North Carolina, Virginia and Germany. Similar accounts were detailed of sending payments to the escrow accounts, controlled by Blosser, and then not being able to receive a refund despite the lack of services.
Along with the lack of promised services, Blosser faces a wire fraud charge. The charging documents reference an international wire transfer of $35,000 from a victim in Australia to a BB&T bank account under the name of The Surrogacy Group and controlled by Blosser.
The company has been in operation since 2012.
One of Blosser’s former clients, Robyn Sandberg of Brooklyn, New York, called her time with Blosser and his company, “the worst experience of my life.”
Along with her 17-year-old daughter, Sandberg had hoped for a new baby to add to her family and paid Blosser $22,000 for service fees and an additional $28,000 for an escrow account through the company.
When Sandberg saw an email about Blosser’s arrest, she screamed so her daughter could learn of the news as well.
“We were actually both jumping for joy and crying at the same time,” Sandberg said in a text message. “This is what we wanted to happen, but it is also so sad and it was all so unnecessary! If only Greg Blosser had done the right thing.”
Maryland Attorney General’s Office spokeswoman Aleithea Warmack said it doesn’t have a comment at this time.
The U.S. Attorney’s office is also asking for people to contact officials if they are victims to Blosser and his company or have more information on the case. A brief questionnaire can be found here or email email@example.com.