Michael Vorce, a former West Michigan boat broker who investigators say is behind a multimillion-dollar loan fraud scam that cost local banks millions

Michael Vorce, a former West Michigan boat broker who investigators say is behind a multimillion-dollar loan fraud scam that cost local banks millions, was taken into federal custody this week. Vorce, 31, was arrested in Chicago late Tuesday, along with a Byron Township man, in what authorities say was another effort to allegedly defraud a bank. A hearing that had been scheduled for Friday in Milwaukee was postponed until next Thursday. Vorce and the other suspect will remain in custody at least until that hearing. Vorce, formerly of Alpine Township, allegedly tried to use the identity of a Milwaukee attorney to secure a $391,450 loan. That loan was ostensibly to buy a 48-foot Sea Ray yacht, according to the case filed in U.S. District Court in Milwaukee. The federal complaint alleges Vorce and James Jett, 29, initiated the scheme with a fraudulent loan application June 30. They face felony charges of bank fraud and conspiracy to commit bank fraud, along with possible identity theft charges. How the situation could be tied to an ongoing criminal investigation of Vorce in Grand Rapids is unclear. In a press release, the FBI said the pair are involved in a multi-state identity theft and bank fraud scheme involving at least $2.6 million at four financial institutions. "The investigation is continuing as the individuals appear to be part of a larger fraud scheme," the statement said. FBI spokesman Leonard Peace said he didn't know whether the larger scheme not detailed in the court complaint included activity in Michigan.