SEC v. Robert Newell and Black Hawk Funding, Inc.

Robert Newell and his prior firm, Black Hawk Funding, Inc., allegedly raised approximately $37.7 million from more than 200 investors for the stated purpose of investing in the cannabis industry. Rather than using the money in the stated manner, the defendants allegedly engaged in various undisclosed and unauthorized misuses of investor funds, including making Ponzi-like payments and paying for the expenses of unrelated entities. The complaint also alleged that Newell misappropriated approximately $668,000 of investor money for his own personal benefit.

Summary generated from official Securities and Exchange Commission press release