Jefferson County House-Flipper Charged in $4.8M Securities Scheme Targeting Colorado Investors
Colorado families and investors are reeling after authorities uncovered an alleged multi-million dollar securities fraud scheme in Jefferson County. Mack Jamie Sprouse, operator of Urban Veneer Holdings LLC, faces 11 counts of securities fraud after allegedly soliciting $4.8 million from at least 80 Colorado investors through his house-flipping business.
According to a press release from the Colorado Division of Securities, Sprouse was arrested on June 3 and indicted two days later, marking one of the largest alleged securities fraud cases in the Denver metro area this year.
Impact on Local Investors
The case highlights growing concerns about investment fraud targeting Colorado residents. Investigators allege Sprouse operated his scheme by:
- Issuing promissory notes with promises of high-interest returns
- Making false statements about investment security
- Misleading investors about real estate collateralization
- Operating without proper securities registration in Colorado
This case serves as a stark warning for Front Range residents considering private investment opportunities in Colorado's hot real estate market.
Legal Proceedings and Investigation
"Sprouse falsely led investors to believe their investments would be secured by either Urban Veneer or collateralized by specific real estate assets," according to the indictment.
The Colorado Division of Securities spearheaded the investigation, with the Colorado Attorney General's Office now handling prosecution. The case particularly impacts Denver metro and Jefferson County communities, where many of the affected investors reside.
Protecting Colorado Investors
Financial experts advise Colorado residents to exercise caution with private investment opportunities and verify credentials through the Colorado Division of Securities before investing. The case demonstrates the importance of due diligence in protecting Colorado families' hard-earned savings from potential investment schemes.
The investigation remains ongoing as authorities work to recover investor funds and bring justice to affected Colorado families. Residents who believe they may have been impacted by this scheme are encouraged to contact the Colorado Division of Securities.
This article contains AI-generated content and reflects opinion only. Readers are encouraged to verify all information independently before drawing conclusions or making decisions.
