Robert E. Rosenau and his mother, Robert E. Rosenau, 43, and Donna M. Rosenau, 64, both of Redding, California, have been indicted and charged with mail fraud and a conspiracy to commit mail fraud in a fraudulent investment scheme.
The indictment alleges that Robert E. Rosenau and his mother, Donna M. Rosenau, through their family business, Rosenau Investments Inc., took in more than $700,000 in investment funds between December 2007 and February 2008 with promises that they would be used to fund “hard money” real estate loans. The indictment alleges that those funds instead were used to pay monthly returns to investors in January and February 2008 (approximately $163,000 in each of those months), and used to issue checks totaling more than $180,000 for the benefit of Robert E. Rosenau or his associates.
The maximum statutory penalty for the conspiracy charge is five years in prison, and the maximum statutory penalty for the mail fraud charge is 20 years in prison. Each charge carries a maximum fine of $250,000. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
The charges are only allegations and each defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
United States Attorney Benjamin B. Wagner announced the six-count indictment.
This case is the product of an extensive investigation by the Federal Bureau of Investigation and the Redding Police Department. Assistant United States Attorney Camil A. Skipper is prosecuting the case.