KUSA - The Colorado Attorney General's Office is charging an online game developer with 56 counts of securities fraud for taking nearly a million dollars from investors.
The defendant is 63-year-old Ronald D. Gollehon. According to a news release from the attorney general's office, Deputy Attorney General Matthew Durkin called Gollehon a "classic con artist" who didn't reveal bankruptcies, lawsuits and other problems to potential investors.
Gollehon's companies were called Open Source Games Inc., WikiRainforest Inc., Gameworking LLC and others.
A 43 page indictment details Gollehon's efforts to collect $885,930 from 95 individuals, by claiming that he was developing an internet game that would be "launched quickly" and result in "very high returns."
Investments ranged from $1,000 to $300,000. The indictment claims Gollehon used the money to pay himself $86,000 during the investment period as well as household and other personal expenses.
According to the attorney general's office, Gollehon collected money in 10 Colorado counties: Adams, Arapahoe, Boulder, Delta, Denver, Douglas, Elbert, Jefferson, La Plata and Weld. The case against Gollehon will proceed in Arapahoe County District Court.
He also allegedly accepted investments from 14 other states, and Romania.
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