Colorado Flipper’s Fraud: A Cautionary Tale

The Setup: Flipping Dreams Gone Wrong

Alright, let’s talk about Mack Jamie Sprouse, this guy out in Colorado. He’s in hot water for allegedly scamming $4.8 million from folks who thought they were investing in a solid home-flipping gig. The plan seemed simple, buy homes, spruce them up, and sell them for a profit. But, as it turns out, things weren’t as honest as they seemed.

The Allegations: Broken Promises

Sprouse, 57, supposedly lured at least 80 investors with sweet promises. He offered them promissory notes, saying he’d pay back the principal plus some juicy interest. The catch? Sprouse wasn’t even registered to sell securities in Colorado. His promises had less backing than a street hot dog.

A House of Cards

The Colorado Division of Securities blew the whistle after snooping around. They tossed their findings to a grand jury in Jefferson County. Sprouse, owner of Urban Veneer Holdings LLC in Lakewood, allegedly lied about funding and used investor cash for purposes outside the promised scope.

Legal Troubles: Facing the Music

Sprouse now has 11 counts of securities fraud hanging over his head. Public docs show that Urban Veneer was formed in 2020, but things got shaky quick. Six liens since 2019, plus four civil suits from creditors, paint a grim picture. One lawsuit alone claims Sprouse owes over $447,000. Yikes.

“Sprouse misrepresented how he would use investor funds,” the Division’s press release shouted. They claim he spun tales about other funding sources, too. Check out the original press release.

A Day in Court: Out on Bond

Despite the mess, Sprouse managed to post a $50,000 bond and skedaddle out of jail the same day he turned himself in. However, the Colorado Attorney General’s Financial Fraud Unit is on his trail. The court date is set for June 8, and many eyes are watching.

The Bitter Past: A Personal Tragedy

In unrelated but notable news, Sprouse carries a heavy burden. His son, Jordan, tragically died in 2014. The young Sprouse was killed in a horror crash by a DUI driver before his high school graduation. It’s a somber shadow over an already dismal story.

Conclusion: A Rocky Road Ahead

It’s one thing after another for the Sprouse family. This story highlights the importance of due diligence in investments. With the court proceedings nearing, one can’t help but wonder: how many more secrets will unravel?

Logan Smith: A veteran journalist and assignment desk editor with a keen eye for drama and fact-checking.