Big update in the Graceland auction fraud case ... a woman has been arrested and charged for allegedly trying to take over Elvis Presley's home by illicit means.
Federal prosecutors are accusing Missouri resident Lisa Jeanine Findley of orchestrating a scheme to conduct a fraudulent sale of Graceland by falsely claiming Lisa Marie Presley had put up the historic landmark as collateral for a loan she failed to repay before her death.
We covered this a lot back in May ... Graceland nearly went up for auction, until a judge stepped in to stop the proceedings.
As we reported, a company called Naussany Investments and Private Lending claimed Lisa Marie failed to pay back a $3.8 million loan and used Graceland as collateral ... but Elvis' granddaughter, Riley Keough, filed docs claiming the company's alleged loan docs were fraudulent.
An Elvis estate official tells TMZ … "We think this is the first domino to fall not the last. We do not believe this is the mastermind behind the scam. Statements attributed to the woman arrested have pointed to someone who has a loose affiliation with the Elvis world."
When we followed up to try and get more specifics the estate official said this was the only information they would provide at this time.
TMZ broke the story ... the FBI ultimately got involved and launched a criminal investigation into the attempted sale.
The U.S. Department of Justice announced Findley's arrest Friday ... and the feds say she's charged with mail fraud and aggravated identity theft.
Findley's set to appear in federal court later today in Missouri.
Prosecutors say Findley faces a mandatory minimum of 2 years in prison for the identity theft charge and a maximum of 20 years in prison for the mail fraud charge ... if she's convicted.