Securities Fraud Lawyer Blog
Las Vegas based cannabis company Integrated National Resources formerly known as Weedgenics was shut down by the SEC in May, 2023. The agency accused the company and its principals Max Bergman and Patrick Williams of running a $60 million Ponzi scheme.
In court filings the SEC asked that Integrated National Resources’ fundraising activities be halted, and for a Receiver to be appointed to take control of the company’s assets and to recoup money for victims of the fraud. The SEC’s Receiver’s website is located here, and investors can click on the link to get information on the court proceedings.
Another securities regulator (FINRA) recently barred Alexandria Bovee, a former Edward Jones registered representative, whom Integrated National Resources investors knew as Aia Montgomery, and who was tasked by INR with persuading promissory note investors to exchange their defaulted notes for equity in INR’s unregistered securities offering. Ms Bovee recently changed her name to Alexandria Rose Montgomery, and has also been named as a Defendant by the SEC. Operating under an assumed name was evidently par for the course at INR, as Max Bergman’s legal name according to the SEC was Rolf Max Hirschman.
The Las Vegas Review Journal profiled the Integrated National Resources scam in a September, 2023 article. Among the topics covered was how money raised from investors was used to support the music career of Mr. Williams, who was an aspiring rap music performer, publishing music under his stage name “Big Rig Baby.” Instead of funds going towards the buildout of a legal marijuana warehouse in Adelanto, California as represented by Bergman and in the INR marketing materials, the SEC alleges that INR funneled millions of dollars to Williams, who spent the money buying homes and fancy cars, as well as at strip clubs in Florida.
It has come to light that Max Bergman took some potential investors to a marijuana grow and processing facility in Las Vegas that was owned by a third party. This facility, located on 4145 Wagon Trail Ave. was owned by cannabis company Qualcan, and housed the operations of publicly traded Mystic Holdings. Mr. Bergman told prospective investors that Integrated National Resources owned the Qualcan facility, and used tours to induce investors to invest in the INR promissory notes. Investors were also provided with unaudited financials which purported to show that INR was a profitable enterprise, bringing in millions of dollars from the legal sale of cannabis. According to the SEC, this was all a sham, as INR did not own the Qualcan facility in Las Vegas, and did not spend investor funds acquiring or building out a cannabis facility in California or elsewhere.
Prior to the SEC’s action The Law Office of David Liebrader successfully represented over a dozen investors with claims against Integrated National Resources. At present all claims against the company and the principals have been stayed by the Receivership action. However, third parties that materially aided in soliciting or assisting investors make their INR investments may have liability under the securities laws, and investors are encouraged to contact the firm to discuss their legal rights.
The Law Office of David Liebrader has been representing victims of investment fraud for over 30 years. We have successfully resolved over 1000 investment loss cases involving unregistered securities, Ponzi schemes and unsuitable investments in trials and arbitration hearings throughout the United States.