Securities Fraud Lawyer Blog
Virtual Communications Corporation officer Vernon Rodriguez was found liable to a group of Plaintiffs who purchased Promissory Notes from the company in 2015. In addition to Mr. Rodriguez, former CEO, and current shareholder Ronald Robinson was also found liable and, pending the issuance of a final judgment, will be ordered to compensate the Plaintiffs. The case is Hotchkiss v. Ronald Robinson and Vernon Rodriguez, filed in Clark County District Court, case # A-17-762264-C. The Court’s decision was issued on April 27, 2020.
Virtual Communications Corporation, a Las Vegas company raised about $4 million from investors throughout the country in an unregistered securities offering. The securities took the form of promissory notes, and were personally guaranteed by Virtual Communications Corporation’s former CEO Ronald Robinson. Plaintiffs were purchasers of these promissory notes.
The Company claimed it ran out of money in early 2015, and stopped paying the nine percent interest to investors under the notes. Afterwards, investors began to file lawsuits in Clark County District Court against the company and the guarantor Ronald Robinson.