Scam warning issued against UK firm

Ohio Dept. of Commerce news

COLUMBUS — The Ohio Department of Commerce Division of Securities has issued a notice order against a United Kingdom company and its operators.  The action, which alleges that Ohio securities laws have been violated, joins enforcement actions taken or investor alerts issued by securities regulators in 15 other states and five Canadian provinces.

The Division’s action involves Inter Reef Ltd., doing business as Profitable Sunrise, its owner Roman Novak and his brother Radoslav Novak, through the website www.profitablesunrise.com The Division alleges that they are engaging in securities fraud, selling securities without a license and selling unregistered securities.

“Ohioans should be on guard and hold onto their wallets any time they hear of a no risk/high return investment,” said Ohio Department Commerce Director David Goodman. “As the old saying goes, if it sounds too good to be true, it probably is.”

The Division is concerned that these businesses could be targeting religious-based organizations. The company’s website includes Bible quotations and options for donating investment returns to charity.  The website also describes various investment plans that claim to offer returns between 288 percent and 648 percent for investment periods between 180 days and 240 days.

The website claims the investments are “risk-free” with “no chance of default” and provides short-term business loans in the United States.

The website also includes apparent traits of a pyramid scheme.  It provides details about a “referral program” where individuals can become regional representatives for an investment group.  The regional representatives are offered five percent commissions from those who join the referral program under that representative’s name.

The Division of Securities is seeking information from Ohioans who may have invested with Profitable Sunrise, Inter Reef Ltd., Roman Novak, Radoslav Novak or any affiliated individuals or entities. Ohioans are encouraged to call the Ohio Division of Securities Investor Protection Hotline toll free at 877.683.7841 or file a complaint with the Division online at www.com.ohio.gov/secu.