Jeffrey Charles Rodd, former operator of Redwood Valley Interests, LLC in Redwood Falls was indicted this past week in federal District court of two counts of wire fraud and two counts of mail fraud.
A U.S. District Court grand jury charged Rodd with the four counts as they relate to events taking place “beginning in or about 2010 and continuing until at least December 2012” when Rodd “did knowingly devise and participate in a scheme and artifice to defraud and to obtain money and property by means of materially false and fraudulent pretenses, representations and promises.”
The federal court complaint also states Rodd is alleged to have “fraudulently solicited money from potential investors.”
The federal complaint states the defendant sent, delivered and received various things by way of the U.S. Postal service and by means of wire communications” which have been called fraudulent.
The indictment also claims he made promises to investors he would use the funds they had invested to purchase and resell discounted existing annuities when in fact, states the complaint, he “intended to and did use the invested funds to purchase advertising for his business, pay personal ex-penses and make Ponzi-type payments to other investors.
Also according to the complaint, Rodd, during a time frame from April 2009 until about August 2012, used a radio program entitled “Safe Money Radio” to discuss what he called low-risk investment products and services, which were typically annuities issued by third-party insurance companies.
The complaint states he used this at least in part “so that the defendant could gain the customer’s trust and maintain a client based to solicit for his fraudulent annuity purchase program.” The report states the defendant raised at least $1.9 million from investors for his purported annuity purchase program and ultimately used that money for “his own personal and business expenses.”
Earlier this year the Minnesota Department of Commerce issued a cease and desist order to Rodd and Redwood Valley Interests, LLC.
As a result of the federal indictment, property including a Ford pickup was forfeited.