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Securities commissioner files lawsuit over casino investment Thursday, May 1, 2008 Arkansas News Bureau LITTLE ROCK - A lawsuit filed by the Arkansas Securities Commissioner in Cleburne County Circuit Court alleges securities fraud and registration violations against a man who sold $200,000 in investments that were to be used to purchase a casino. The lawsuit against Christopher A. Hogan, Crunkland Records Ltd. and ROLFund.com, filed Tuesday, seeks to return funds to investors and institute a fine for the same amount. Christopher A. Hogan told investors, "You have no fear of losing your money," in a video on a Web site for ROLFund, which was represented to be a "conglomerate of companies centered in the entertainment industry" that was soliciting investments to purchase a casino in the Dominican Republic, according to Securities Commissioner A. Heath Abshure. Investors began entering into contracts for what Hogan called a "high yield loan program" in 2006, Abshure said. But ROLFund was not such a program, nor was it a conglomerate of companies, he said. Additionally, Hogan misled potential investors in Crunkland, which was not a business that produced a "Dirty South Television" with 1.3 million weekly viewers and major sponsors as he claimed, Abshure said. Investments in each venture were alleged to be investment contracts, a type of security, Abshure said. However, the securities were illegally sold because they were not registered with the Arkansas Securities Department as required, Abshure said. "Investors should always be careful when anyone tries to sell them securities, and this is doubly true when the approach comes from the Internet," Abshure said. |
