Billy McFarland, the entrepreneur behind the Fyre Festival, which was sold as an ultraluxurious music event in the Bahamas but collapsed spectacularly in April, leaving behind angry ticket buyers, investors and workers, was arrested by federal agents at his home in Manhattan on Friday and charged with one count of wire fraud.

Federal prosecutors announced the charge involves a scheme to defraud investors, which included misrepresenting financial information about Mr. McFarland’s company, Fyre Media. His representatives were not immediately available for comment.

Joon H. Kim, the acting United States attorney for the Southern District of New York, said in a statement: “McFarland allegedly presented fake documents to induce investors to put over a million dollars into his company and the fiasco called the Fyre Festival.” If convicted, Mr. McFarland could face a maximum of 20 years in prison, but is likely to receive a lesser sentence.