Published: February 3, 2017 |

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The man behind a fraudulent Tennessee company that bilked investors out of $14 million is behind bars according to a Federal Bureau of Investigation report.

The FBI report states Brian C. Rose and 9 co-conspirators ran a company called New Century Coal which claimed to be mining and processing high-quality “Blue Gem” coal. Rose, his co-conspirators, and his sales staff told more than 160 investors they were mining the profitable coal which is used to manufacture silicon and computer electronics.

The company sold shares to investors starting in 2011, convincing them of the potential profits which could be made from mining the coal. The FBI says Rose used “sophisticated marketing brochures”, presentations, and a sales force which would even travel to meet with investors. Rose even leased a mine and brought in earth-moving equipment in an effort to sell the lie to savvy investors who wanted to see the sites.

After several years of the scam, a New Century Coal employee reported what was taking place to the FBI which launched an investigation by the FBI’s Knoxville division. The U.S. Secret Service and the Internal Revenue Service joined the investigation, finally shutting it down in June of 2014.

The FBI says as of last month, Rose and his nine co-conspirators have been sentenced to a total of 284 months in prison. Rose will be serving a nine-year prison term. Other conspirators whom were part of the scheme are currently under indictment in Indiana after starting a similar investment scheme.

Source: (January 25, 2017) Fox News

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