Yeeeeahhh... while I concede you didn't make that up, I would also note that in today's legal climate (c.f. Donald Trump), the 'fraud' could be that they cannot deliver on the wine they promised, BECAUSE the authorities seized it.
Things are THAT effed up these days.
Actually the fraud probably is that they didn’t have a business license. You can’t have people invest in a business that doesn’t exist. Without the license you don’t have a business. That’s investor fraud.