Former Gizmondo executive charged with theft by LAPD

Former Gizmondo executive Stefan Eriksson is facing grand theft charges after Los Angeles detectives concluded that three of his luxury cars actually belong to British financial institutions.

According to the LA Times, police raided Eriksson's Bel-Air mansion on Friday night and conducted a six hour search of the property. Eriksson was later taken into custody, and his USD 1 million black Enzo was confiscated.

Sheriff's spokesman Steve Whitmore told the LA Times that detectives believe the car belongs to UK banks, as did Eriksson's red Enzo, which was destroyed in a crash on a Pacific highway in February, and his Mercedes SLR McLaren -which was seized last month after his wife was caught driving without a license.

Eriksson purchased all three cars in the UK, and brought them with him on moving to LA. But Whitmore said that two financial institutions claim they hold the titles to the cars, and that payments have lapsed.

"This is the beginning of the investigation," Whitmore said. "All three cars have now been confiscated."

Eriksson is being held without bail at the request of US Immigration and Customs Enforcement.