The attorneys at Eccleston Law are continuing their investigation of Mesa, Arizona resident Brett S. Kleese, BSK Enterprises, LLC, and Rosand Enterprises, Inc. following SEC administrative proceedings and a 2009 Arizona Corporation Commission cease and desist order.
From about October 2007 through May 2008, Brett Kleese allegedly offered and sold at least 57 investors approximately $3 million of unregistered promissory notes issued by BSK. Based on investor reports, perhaps up to $12 million in promissory notes were sold to investors.
The promissory notes contained promises by BSK to repay the investors principal plus interest. Kleese told investors that BSK would lend their funds to Rosand Enterprises, which Rosand would use as collateral to pay for the construction of low-cost, prefabricated housing in Chicago. Kleese also told investors that their funds would be deposited into an Illinois law firm’s trust account, and that none of the money would be withdrawal because it was to be used by Rosand as collateral for the line of credit and that the account was covered by a bond.
Contrary to these representations, the funds sent to Rosand were withdrawn from the trust account which was not covered by a bond. Kleese admitted that he did not adequately disclose these facts to investors.
Eccleston Law represents individual and institutional investors nationwide to recover their investment losses caused by securities fraud, unsuitable investment recommendations, breach of fiduciary duty, negligence or other misconduct. We have extensive experience representing investors in arbitration and litigation disputes with securities broker-dealers and investment advisory firms, and have recovered tens of millions of dollars for investors.
If you are an investor that has suffered losses investing with Brett S. Kleese, BSK Enterprises or Rosand Enterprises, please contact one of our attorneys at 312-332-0000 to discuss your recovery options.
FinancialCounsel.com, hosted by James J. Eccleston, is a companion website to this blog, along with EcclestonLaw.com. It contains complementary material of general interest to investors and financial services professionals. Investors will find material on securities arbitration to recover investment losses; industry and financial markets intelligence; and strategies for estate planning. Professionals have access to material on broker/adviser registration, regulation, compliance and disciplinary proceedings; industry and financial markets intelligence; strategies for estate planning; and broker/adviser employment litigation and injunctions, including defamation and non-competition/solicitation issues. 
