Cocaine, ketamine, prostitutes and alleged death threats have turned a flashy Orange County businessman into a “danger to the community,” according to a federal judge who ordered him locked up as he awaits trial on allegations he conned a bank out of nearly $100 million.

Indian-born businessman Mahender Makhijani, 44, was hauled out of his tony Newport Beach mansion in June by armed federal agents after being accused of defrauding Phoenix-based Western Alliance Bank.

But the alleged financial fraud is only part of the case.

Federal Judge Autumn Spaeth on Monday rejected Makhijani’s request to be released, pointing to allegations that he “has paid a bribe, used serious drugs (cocaine and ketamine), and participated in prostitution.”

Makhijani “is a danger to others and the community by clear and convincing evidence,” Spaeth added in her decision ordering the financier to remain behind bars pending trial.

The judge also determined Makhijani is a flight risk and said he made death threats against an Orange County bank employee in an apparent effort to influence the employee’s testimony.

Makhijani has pleaded not guilty to two felony charges stemming from a nearly $100 million loan from Western Alliance Bank.

The businessman once flaunted a lavish lifestyle that included a fleet of high-end sports cars, private jet travel and sex-fueled parties, according to allegations outlined in the case.

Federal prosecutors accuse Makhijani of cooking the books on the loan by doctoring title policies to make real estate pledged as collateral appear substantially more valuable than it actually was.

The nearly $100 million remains unrecovered, according to court papers.

Makhijani enjoyed a high-flying lifestyle before his arrest. He often wore designer sunglasses indoors and favored posh linen shirts, keeping two Newport Beach mansions side by side, with the second reserved for his in-laws.

Makhijani rolled around in a fleet of luxury cars that included a Bentley, Porsche, and Mercedes G-Wagon, controlling “vast sums of money,” to support his lavish lifestyle, court papers say.

Witnesses said he would blackmail his underlings, hosting parties with sex workers and drugs that were attended by bank employees, later threatening to expose those who participated in the twisted festivities.  

An arbitrator in May found Makhijani liable for a more than $1.3 billion in damages over his real estate dealings with Laguna Beach businessman Mohammad Honarkar.

In a 2023 dispute with Honarkar over who had the right to run the Hotel Laguna, Makhijani brought his bouncers into the hotel lobby, where they roughed up workers, evidence in Makhijani’s criminal complaint shows.

The disturbances caused the Laguna and another hotel called 14 West to be temporarily closed after armed guards were involved in a 20-person brawl.   

Honarkar detailed in court documents the threats Makhijani allegedly made against him.

“He’s going to destroy my reputation in Laguna. He’s going to make sure my kids and my grandkids are on the street. He’s going to make my life miserable,” Honarkar said.

In May an arbitrator concluded that Makhijani breached agreements and defrauded Honarkar.

The California Post was there when federal agents swooped on Makhijani to make his arrest.

With automatic weapons drawn, G-men in tactical gear pounced on the slick financier at his plush mansion in the exclusive coastal enclave of Corona del Mar.

Officers with a shield breached the home’s fancy gate and pounded on the front door. “Police with a warrant – Come to the door!” yelled one agent.

After a few tense moments, Makhijani came out in pajamas. The feds placed him in cuffs and put him in a black sedan to be transported to jail.