The state of Vermont is suing a popular ski resort for mishandling money.

The securities and exchange commission says the Jay Peak Resort misused hundreds of millions of dollars of funds raised through investments.

They say the developers actually spent the money on personal expenses, such as a luxury Trump condo in New York.

The funds were supposed to go towards the resort and a new hotel that was set to open, creating hundreds of jobs.

"We saw a complex web of financial accounts that allegedly facilitated the improper mingling, misuse and diversion of funds between EB-5 projects," said Commissioner Susan Donegean of the Department of Financial Regulation.

Documents indicate the fraud persisted for eight years, but the governor only found out a year ago.

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