QUEENSBURY — The husband-and-wife owners of Arlington Equipment Company were indicted Tuesday on charges that they defrauded business owners and laundered hundreds of thousands of dollars through shell companies.

Robert J. Mirel, 71, and Debra Burnett, 65, allegedly defrauded firms and individuals throughout the state and nation by pretending to sell glass installation equipment, according to state Attorney General Eric Schneiderman's office.

The investigation, dubbed Operation Bob the Builder, revealed that Arlington was one of the only manufacturers of glass manipulators in North America at the time the business started in Queensbury. Glass manipulators are used by glass and glazing companies to install heavy glass in high-rise buildings and position custom pieces of glass at angles other than 90 degrees.

The indictment alleges that since 2012 Mirel and Burnett took advantage of this near-monopoly for nearly five years, taking a 50 percent down payment from customers and then not delivering the product. In 2013, they allegedly terminated all of employees, but continued to take orders for glass. In other cases, they also allegedly told customers the glass was ready to ship and that the customers would have to pay their balance before they could be delivered.

They allegedly stole more than $1.2 million in this way from more than 40 customers. The couple is also accused of not compensating several employees.

They also allegedly laundered the money they stole through other companies and using new victims' money to build manipulators for earlier victims who did not receive what was promised.

The two have been charged with 29 counts including grand larceny and money laundering in Warren County Court. Mirel is being held on $500,000 bail. Burnett had her bail set at $100,000.

If convicted on all charges, which also include criminal tax fraud, scheme to defraud and offering a false instrument, Mirel and Burnett face five to 15 years in prison.

"As we allege, the defendants orchestrated a brazen scam to trick unsuspecting businesses, consumers, and even their own employees — resulting in millions of stolen dollars," Schneiderman said. "Companies are obligated to provide consumers with the goods and services they pay for and workers with fair pay — and my office will continue to hold those who try to shirk these legal responsibilities to account."