A serial fraudster from California has been sentenced to 25 years in federal jail for orchestrating an elaborate scheme that defrauded buyers of almost $18.4 million by fictitious hemp and CBD companies.
U.S. District Decide Fernando L. Aenlle-Rocha described Mark Roy Anderson, 70, as an “completed and incorrigible con man,” emphasizing the impression of his rip-off on victims, lots of whom misplaced their life financial savings.
Between June 2020 and Could 2023, Anderson operated beneath the guise of three firms: Harvest Farm Group, Bio Pharma Natural LLC, and Verta Bottling Co. Inc. He falsely claimed possession of a worthwhile hemp farm in Kern County, California, and asserted that his firms had been efficiently manufacturing and promoting CBD-infused merchandise, together with olive oil, ache cream, gummies, tequila, and chili oil.
Luxurious & classic vehicles
The federal government mentioned Anderson diverted over $650,000 of investor funds to buy 15 luxurious and classic autos, together with a Ferrari. He additionally spent greater than $1.3 million buying a residence and surrounding citrus groves in Ojai, California. Moreover, he spent over $142,000 on retail purchases and private bills. Anderson created pretend authorized and enterprise paperwork to make his sham enterprises seem authentic, prosecutors mentioned.
Anderson’s fraudulent actions span a number of a long time. A former lawyer, he was disbarred in Nevada in 1993 following a mail fraud conviction that resulted in a seven-year jail sentence. In 2014, he acquired an 11-year sentence for a Ponzi scheme involving pretend oil ventures.
Anderson carried out the CBD rip-off whereas nonetheless beneath supervised launch from a previous conviction, having been launched from federal jail in 2020.
‘Breathtaking fraud’
Anderson final yr pleaded responsible to 2 counts of wire fraud within the CBD case. Decide Aenlle-Rocha highlighted the severity of Anderson’s crimes throughout sentencing final week, saying, “The magnitude of the fraud is breathtaking… Many (buyers) have misplaced their life financial savings reflecting a long time of laborious work.” The decide underscored the need of defending the general public from Anderson, emphasizing his “recidivist tendencies.”
As a part of his plea settlement, Anderson has agreed to pay roughly $18.3 million in restitution to the defrauded buyers. This consists of $8.78 million to these deceived by Harvest Farm Group and $9.6 million to buyers in Bio Pharma Natural and Verta Bottling. He has additionally consented to forfeit property, together with the Ojai property and the gathering of luxurious autos.
