A Florida mother and son were arrested and charged with money laundering after authorities discovered the couple allegedly created fake real estate firms and shell companies to process profits made through prostitution.
Christopher Jelavic, 48, and his mother Margareta von Lambert, 70, were arrested one day apart on September 11 and 12, respectively.
The duo is accused of money laundering, with proceeds allegedly running into hundreds of thousands of dollars.
Jelavic and von Lambert were based in South Florida and ran a business in Pompano Beach called Pretty Woman Escorts as a “criminal enterprise dedicated to commercial sex,” but they used von Lambert’s job as a real estate agent as a cover to run the business. of companions.
Margareta von Lambert, 70, was arrested on charges of money laundering and obtaining support from the proceeds of prostitution.
Von Lambert is alleged to have run the prostitution empire alongside her son, 48-year-old Christopher Jelavic.
The business has supposedly been in business for decades and was initially founded in April 2000 when von Lambert hired “real estate agents” who actually worked as prostitutes, but many even had valid real estate licenses.
Detectives identified a nondescript building on the corner of North Dixie Highway as the center of the operation, and county records show that a corporation connected to Jelavic purchased the commercial building in 2005, when he was just 24 years old.
The business was hidden behind a front company known as Boca Art Studios, according to the affidavit.
In the years since, mother and son allegedly created shell companies registered with the Florida Division of Corporations to “facilitate the laundering of profits from the sex trade.”
Von Lambert allegedly used his Florida-registered real estate license to facilitate the venture and provide an air of legitimacy, according to the documents.
But the entire empire fell apart after detectives from the Broward County Sheriff’s Anti-Money Laundering Task Force became suspicious when Jelavic placed multiple ‘escort services’ ads and classifieds.
Although several investigations have been conducted over the years into Pretty Woman Escorts, none have managed to disrupt or dismantle the business, nor find those responsible for running the sordid enterprise, reports CBSMiami.
Margareta von Lambert, pictured, had legitimately established herself as a real estate agent, but detectives believe the properties listed were a cover to launder money from prostitution.
Detectives reviewed previous investigations and found individuals allegedly “engaging in a pattern of extortion activity” that included prostitution and money laundering through Pretty Woman Escorts and other businesses.
Police then began a new investigation in which they gathered additional information from record searches along with surveillance evidence, traffic stops, subpoenas, recorded phone calls, confidential sources, undercover operations and trash searches.
After going through the trash, detectives also monitored the comings and goings of every car and person who visited the Pompano Beach property.
The sex workers were described as “young Hispanic and European” women with clients paying between $300 and $400 for an hour with them.
“Good things come in small packages,” reads an ad on Pretty Woman’s website. ‘This little 5′ foot 2 inch Colombian is waiting for you.’
“I’m Asian/Latina…I feel extremely proud of myself and my appearance,” says another. “I am always impeccably groomed and dressed for any occasion.”
‘Do you want a woman who will hypnotize you, seduce you and invite you with her touch, charisma, charm, intelligence and sensuality?’ asks a third. “My mission is to ensure that the time we spend together makes you forget about the outside world.”
Broward Sheriff’s Office Detective Jairo Barrera explained how the sex workers earned 55 percent, while Jelavic’s share was set at 45 percent.
The company also used drivers who received about $25 for each trip while traveling to customer locations between 6 p.m. and 5 a.m.
Detectives identified the corner building at 3311 North Dixie Highway, as the center of the operation, and county records show that a corporation connected to Jelavic purchased the commercial building in 2005 when he was just 24 years old.
Authorities say at one point Jelavic and von Lambert, pictured, tried to leave the United States for Brazil to avoid prosecution, according to the documents.
But the pressure seemed to be mounting, and in an incident on July 25, documents detail how a confidential source told detectives that Jelavic allegedly expressed “deep frustration and stress” to his mother about current problems with the company and suggested that They will focus more on real estate. companies.
Detectives investigated further and discovered through a confidential source how Jelavic told an associate that he had to cancel his attendance at an event that night due to a “major issue with an employee.”
According to documents seen by local10 which is over 100 pages long, Jelavic explained how a woman he had been training for a month accidentally sent a mass text message to all of his clients.
This led to the complete shutdown of his business operations, leaving his phone disconnected and the business ceasing to operate.
After the incident, Jelavic said he was “fed up with the stress” of the business.
One of his partners then suggested that he should focus on real estate.
The documents then detail how Jelavic allegedly reunited with his mother on August 1.
On that occasion, the couple discussed transferring property to their own teenage son to reduce their tax obligations.
The investigation found that Jelavic’s bank accounts at Bank of America, Wells Fargo and JP Morgan Chase had allegedly received about $174,000 through various means, including Zelle, credit card transactions and cash deposits.
All of the money is alleged to have come from profits from prostitution between June 2023 and June 2024.
The payments were then allegedly emptied from his bank accounts via checks and online transfers to joint accounts with his mother, von Lambert, according to the documents.
The descriptions were particularly vague with comments such as “home remodel,” “construction loan,” “IPH School, travel expense reimbursement,” and multiple checks for “bathroom remodel.”
During the same period, von Lambert’s checking accounts received about $84,000 in deposited checks and payments from Zelle that came from the same account.
Von Lambert promoted herself as a “real estate broker, artist and designer” with her son, Jelavic, purchasing millions of dollars worth of real estate through her.
“What is striking when examining Margareta von Lambert’s bank accounts is the lack of financial transactions of real estate activity in an account associated with a real estate business and the lack of financial transactions of art studio activity in an account associated with a art studio business,’ according to the affidavit.
Jelevic’s shell companies then allegedly sold a Tamarac property with von Lambert as the involved real estate agent who helped “facilitate this money laundering transaction.”
Jelavic and von Lambert had no idea that their communications had been intercepted and were being monitored by authorities. Several of their conversations were included in the affidavit.
In August, Jelavic told his mother of his intentions to buy a house in Croatia, which, according to the affidavit, “hints at plans to move or hide assets internationally.”
Weeks later, Jelavic was heard speaking to a former Pretty Woman companion telling her “that she is going to prison for money laundering, racketeering and other serious crimes,” according to the affidavit.
“Jelavic talks about going to prison and communicates his farewell (to the former bodyguard),” the affidavit reads.
He later called another partner and told him that the police had “seized all his assets and that he is going to prison.”
“Jelavic reports that he was planning to leave the business, sell the office and move on,” the affidavit details. “Jelavic wanted to say goodbye (to the associate) and hopes to survive this.”
Authorities say that earlier this month Jelavic and von Lambert attempted to leave the United States for Brazil to avoid prosecution.
They stopped at the Miami airport shortly after 3 a.m. on Sept. 7 to try to flee the country, according to the documents.
He bought plane tickets for himself and his wife to two different cities in Brazil, according to the affidavit.
Hours later, Jelavic’s wife and mother arrived at the airport to meet him.
Jelavic and Lambert face charges of money laundering and obtaining support from the proceeds of prostitution.
The couple will remain in prison until they prove that the source of their bail has nothing to do with the alleged crimes.
If correctional officers release them on bond, they will not be allowed to travel outside of Broward or Palm Beach counties.
