Prosecutors have asked the Superior Court to hold a hearing to determine whether St. Thomas businessman Brett “Mac” McClafferty violated the conditions of his pretrial release by posting about his criminal case on social media.
In a motion filed late Wednesday, Acting Deputy Attorney General Patricia Pryor asked the court to issue a show-cause order requiring McClafferty to explain why he should not be sanctioned, held in contempt, or have his bail conditions modified.
The filing argues that several posts appeared on social media accounts associated with McClafferty or his business interests after his release from custody, discussing the criminal case, promoting a civil lawsuit he filed against Banco Popular, and referencing plans to run for the Virgin Islands Legislature.
Those posts, prosecutors say, may violate a Feb. 23 pretrial release order prohibiting McClafferty from posting on social media about the case and requiring him to have no contact with Banco Popular employees or potential witnesses. The motion asks the court to hold a hearing to determine whether those conditions were violated and whether sanctions or changes to McClafferty’s bail conditions are warranted.
The filing represents the latest development in a case that now spans a criminal prosecution, a civil lawsuit against the bank that reported the alleged fraud, and a request to the governor for a separate investigation.
According to court documents, the underlying investigation began June 11, 2024, when Banco Popular reported suspected check fraud tied to accounts connected to McClafferty and his businesses.
Investigators with the Virgin Islands Police Department’s Economic Crimes Unit examined a series of transactions between January and June 2024 involving deposits of checks later determined to be fraudulent or altered.
The affidavit filed in support of the case states that several checks deposited into accounts connected to Social Hospitality Group and MPE Clearing and Holdings appeared to be drawn on accounts belonging to National Health Insurance in the British Virgin Islands and the BVI International Arbitration Centre. Representatives of those entities later told investigators they had no business relationship with McClafferty and that the checks were not legitimate.
Authorities allege that 12 fraudulent transactions totaling approximately $888,500 moved through the accounts during that period. Banco Popular reported a confirmed loss of roughly $80,000 after certain deposits were returned or reversed.
Based on the investigation, prosecutors charged McClafferty with grand larceny, passing or possessing forged bills, obtaining money by false pretenses, making and passing fictitious bills, and issuing worthless checks.
A Superior Court judge signed an arrest warrant for McClafferty on Dec. 30, 2025, though it was not executed until nearly two months later, when officers with the Economic Crimes Unit arrested him at his residence on Feb. 21.
Two days later, at a Feb. 23 advice of rights hearing, Magistrate Judge Julie Todman Smith found probable cause for the charges and set bail at $150,000. McClafferty was released after posting 10% of the bond in cash, with the remainder unsecured.
Among the conditions of his release was an order prohibiting him from posting on social media about the case and requiring him to avoid contact with Banco Popular employees or other potential witnesses. Prosecutors now argue that subsequent online posts discussing the case and promoting his lawsuit may have violated those restrictions.
Less than two weeks after his arrest, McClafferty and Social Hospitality Group Inc., the operator of St. Thomas Social at Yacht Haven Grande, filed a $10 million civil lawsuit against Banco Popular de Puerto Rico and its parent company.
The complaint alleges the bank improperly reported fraudulent banking activity tied to checks deposited into the restaurant’s account, triggering the criminal investigation that led to McClafferty’s arrest. According to the lawsuit, the deposits were connected to a proposed private event at the restaurant and the bank failed to properly investigate the transactions before reporting the matter to law enforcement.
The civil case soon produced its own development. On March 5, Superior Court Judge Sigrid M. Tejo recused herself from presiding over the lawsuit. In her order, Tejo wrote that during her previous service as an assistant attorney general, she worked closely with the Virgin Islands Police Department’s White Collar Crime Division and Banco Popular’s fraud department and had developed personal relationships with individuals involved in those areas. She said stepping aside was appropriate to avoid even the appearance of impropriety.
That recusal was later cited by McClafferty’s attorney in a separate request sent Tuesday to Gov. Albert Bryan Jr., asking the administration to investigate whether relationships between Banco Popular employees and law enforcement influenced the charging decision in the case.
Government House said Wednesday that it was reviewing the request, and by Thursday, had reportedly forwarded it to the Justice Department for further review.
Under Virgin Islands law, investigations into government operations may be conducted by the Office of the Virgin Islands Inspector General, an independent oversight office empowered to review allegations of fraud, waste, abuse, or misconduct involving government agencies or programs. The Inspector General may initiate inquiries on its own or at the request of the governor or Legislature and can refer potential criminal matters to the Justice Department or other authorities.
McClafferty, 37, describes himself as a private investor and philanthropist and is a co-owner of St. Thomas Social at Yacht Haven Grande. He is also listed as principal of Mac Private Equity and MPE Clearing and Holdings.
The restaurant, its parent company, Social Hospitality Group, and McClafferty have been involved in several legal disputes in recent years, and Mac Private Equity filed a Chapter 7 bankruptcy petition in Delaware earlier this year.
McClafferty has also faced landlord-tenant litigation tied to St. Thomas Social’s operations at Yacht Haven Grande that was later dismissed without prejudice. In those matters, McClafferty has denied wrongdoing and characterized some claims as business disputes.
Meanwhile, both the criminal case and the civil lawsuit against Banco Popular remain pending in Superior Court.
