Mesa film producer defrauded investors, must repay almost $1M, Arizona Corporation Commission says

A Mesa man who reportedly misled investors while raising money to produce his film and television ventures was ordered in November 2024 to repay nearly $1 million that he had used on personal expenses, like rent, furniture and making "Ponzi-like" payments on other investments.

The Arizona Corporation Commission found that actor and writer Michael Saquella misused the investments he collected after promising stakeholders they would see returns and convincing them that his projects were backed by popular streaming services like Tubi and Netflix.

While fundraising, the Corporation Commission said, Saquella also failed to tell investors he had pleaded guilty to charges related to securities fraud.

According to the Corporation Commission, investors contributed just over $1.1 million to Saquella and his entertainment companies, Best Image I LLC and Cactus Blue Entertainment LLC. Combined, they have only seen $197,500 in returns.

Saquella must repay the remaining $915,005 plus a $100,000 administrative penalty.

In submitted statements Saquella provided to the Corporation Commission last year, when he was notified that the agency was looking to pursue a cease-and-desist order, Saquella said he wanted to settle the case and continue paying his investors, "so we can all go forward in a positive direction."

However, he denied the claim that he did not notify the investors of his previous conviction. He went on to note that one of his completed movies was slated to be released in March 2020.

With the COVID-19 pandemic shutting down theaters, the film, called "Dream Round," was instead released on streaming networks in late 2020 and early 2021. Saquella added that as of last August, his investors had received about 20% to 25% of their initial investments.

"And I intend to continue paying them as I am able," he stated.

Saquella has appeared in movies since the 1980s and managed Saquella Productions. In 1978, the Corporation Commission found that he had committed securities fraud for making false or misleading statements about his company and whether actors were actually involved in his projects.

The U.S. Securities and Exchange Commission filed separate complaints against Saquella in 2002 and 2007, the latter of which led to his conviction. He was charged with conspiracy to commit securities fraud and conspiracy to commit electronic mail fraud.

Saquella was sentenced to 120 months in federal prison and ordered to pay nearly $8 million in restitution. After being released in 2017, he served three years on parole.

During that time, he got back into acting and film production. He co-wrote and appeared as the lead in "Dream Round," a film about a semi-professional golfer who wants to become a pro.

While shopping around investments for the movie, he told one prospective stakeholder that they could see their return doubled, according to the Corporation Commission. He also told others that their investment would yield an 800% return.

While seeking funds for his new project "El Coyote the Series" — a continuation to his 2019 film, "El Coyote" — Saquella reportedly told some investors that the project was a "done deal with Netflix." For others, he said he had a "firm offer from Tubi for $500,000 to $750,000 per episode."

The Corporation Commission said neither of those deals was true.

Across Saquella's eight bank accounts, he reportedly received at least $1.2 million in deposits from investors between April 2018 and December 2022.

During that time, according to the Corporation Commission, he commingled those funds with his own cash, using that money for rent and utilities and on car payments, entertainment, furniture and medical expenses.

And in a move that the Corporation Commission referred to as Ponzi-like, he also used $46,250 to pay back other investments instead of using revenue from those ventures.

The state agency said that while Saquella submitted his responses over a year ago declining to request a formal hearing, it had not heard from him since April.

The Corporation Commission met on Nov. 6, when it approved the order for Saquella to refund his investors.

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Shawn Raymundo covers the West Valley cities of Glendale, Peoria and Surprise. Reach him at or follow him on X .