According to search warrants the crimes took place in the Cedarpost Drive home of John and Shannon Morreale between April and May.
Two 15-year-olds told police the couple gave them alcohol and marijuana, and gave them money to touch each other.
One of the teens said they found a videotape recorded by Shannon that shows her husband naked, standing over the teens while they slept. They also said they were taped in the shower and touched.
Officers took more than 70 tapes, CDs, DVDs, several cameras and a security receiver, as well as adult themed books.
"I'm not surprised based on his character," neighbor Richard Stetter said. "He has a hot tub in the back. I hear it goes on at night time."
Stetter has lived next to John for four years; he says he's not neighborly even though he's been on the homeowners' association board of their Cary community for years.
"I'm not surprised, but I am saddened to hear the news. It's not pleasant for any child to be exposed to something like that, it's horrible," Stetter said.
John Morreale is the president and CEO of Tri Equity Management in the Triangle.
Tuesday night he may have been giving a mortgage seminar just hours after he and his wife were charged with taking indecent liberties with teenage girls.
On the Tri Equity Management Web site, John Morreale's bio states that he's a former New Jersey police officer who coached youth sports there and in Cary and Wake County.
A SUV at their office building shows the business on the license plate, a police sticker on the back --a sign reads they are hosting a seminar.