A former Brentwood resident faces federal charges alleging she defrauded investors of nearly $2 million through a smart ring company.

Jury selection in the case against Michelle Bisnoff, 57, begins Monday, Sept. 14, in U.S. District Court for the Central District of California before Judge Mónica Ramírez Almadani, Yo! Venice reported. Bisnoff, who also goes by Michelle Angeline Silverstein and Shelly Silverstein, founded ESOS Rings Inc. and allegedly solicited investor funds between 2017 and 2023.

Federal prosecutors allege she fabricated the company's financial health, product sales and technological capabilities. Prosecutors say Bisnoff claimed ESOS owned patents for "smart rings" capable of contactless payment processing and promised investors steady profits from transaction fees. Neither Bisnoff nor ESOS held the patents she cited, according to Yo! Venice's review of investigative affidavits.

Bisnoff also allegedly told investors that tech giants including Apple were preparing to acquire ESOS and buy back shares at a premium. Federal agents determined those companies had no relationship with ESOS, which ran minimal operations and produced zero profits, according to the Department of Justice.

Prosecutors allege Bisnoff used incoming investor money to fund personal expenses and make Ponzi-style payouts to earlier backers.

Federal agents arrested Bisnoff on July 17, 2024, on charges alleging she obtained more than $2 million from investors through lies about ESOS Rings and then diverted the funds, the DOJ said.

A parallel civil action by the U.S. Securities and Exchange Commission resulted in an $836,548 judgment against Bisnoff and ESOS on Sept. 19, 2023. U.S. District Judge Consuelo B. Marshall ordered $566,483 in disgorgement of net profits, $46,836 in prejudgment interest and $223,229 in civil penalties. The SEC action addressed $1.95 million fraudulently raised from investors.

Neither Bisnoff nor ESOS Rings has paid any of the ordered amount, Yo! Venice reported.

Bisnoff previously lived in Brentwood, Pacific Palisades and Santa Barbara. Yo! Venice described her as a former Brentwood Community Council member. She now resides in Boca Raton, Florida. No statement from Bisnoff or a defense attorney appears in public records related to the case.