Colorado Mueller Capital
Colorado Seizes Assets of Hedge Fund Running Ponzi SchemeThe state of Colorado has seized the assets of a hedge fund which the state accuses of running a Ponzi scheme. Mueller Capital Management, a south-Denver hedge fund, has had all its assets seized by Colorado after claims surfaced that the manager, Sean Mueller, had created a Ponzi scheme involving as much as $122 million.
The state said that Sean Mueller raised more than $20 million from three investors and that at least 30 more also may have made "substantial investments."
Mueller threatened to kill himself Thursday and was found by Greenwood Village police, who took him to a hospital. He could not be reached Tuesday. Colorado Securities Commissioner Fred Joseph on Friday moved to freeze Mueller's assets and, on Tuesday, obtained a court order to appoint a receiver.
Mueller, 41, a strong golfer who belonged to the Cherry Hills Country Club, is believed to have attracted prominent Colorado residents to invest with his Mueller Capital Management firm based in Greenwood Village.
He hired former Janus Fund manager Blaine Rollins to be his director of research. Rollins was listed as a staff member on Mueller Capital's phone message Tuesday. The University of Colorado Leeds School of Business, where Rollins is a board member, described him as Mueller Capital's director of research. Source