Investigation Of Rosand Enterprises And Robert Anderson Of Illinois Launched Following SEC Ponzi Scheme Charges
SNSFE has launched an investigation into Robert Anderson of Mt. Prospect, IL and his company Rosand Enterprises following SEC charges that a Ponzi scheme was conducted. The SEC’s complaint alleges that Anderson raised approximately $12 million from at least 77 investors between December 2005 and May 2008. Anderson told investors that Rosand Enterprises purchased and rehabbed existing homes and constructed pre-fabricated modular homes. Anderson told investors that their returns were to be generated from the sales of the homes.
The SEC alleges that Anderson’s representations were false and he did not use the investor funds to construct or rehab homes. Anderson invested $550,000 of the $12 million raised in a company that he did not control that, in turn, purchased a piece of commercial real estate that was not profitable and nearly all of the money that Rosand invested was lost. Rosand did not disclose the investment loss to investors.
According to the SEC’s complaint, Anderson used approximately $7.9 million to make monthly “interest” and return of principal payments to investors, and he used approximately $1.9 million to invest in several suspicious offerings. He misused $632,000 to pay employees, independent contractors, and office expenses with investor funds. Anderson also illegally siphoned off $818,000 for his own and his family’s personal expenses, including $326,000 for credit card payments, $142,000 on tuition and a wedding for his daughter, and $38,000 on cars.
Those with information concerning Rosand Enterprises or Mr. Anderson should feel free to contact attorneys at SNSFE.