The 33-count indictments against Ray Marshall and Jim Brodie might just be the tip of the legal iceberg.
There might be other indictments to come. Amended Count 1, as filed against Marshall, contains the following paragraph:
“The enterprises alleged in this count are all associated with LandCo (Marshall indictment). The enterprises included but were not limited to, Raymond Marshall and James Brodie and other persons known or unknown, who were associated from time to time in racketeering activity that was related to the conduct of the enterprise.”
Marshall and Brodie have each been accused of securities fraud, theft, conspiracy to commit theft and violation of the Colorado Organized Crime Control Act.
Marshall’s indictment alleges that between January 2000 and March 2007, while he was employed by or associated with LandCo Equity Partners and its many affiliates, that he “unlawfully, feloniously and knowingly conducted and participated, directly or indirectly, in the enterprise through a pattern of racketeering activity.”
Marshall and Brodie are specifically accused of the theft of “more than $15,000″ from several individuals, including many prominent figures from Colorado Springs: Phil Lane, Margaret Lane, Howard Berlin, Gary and Kathy Walters, Linda Mason and Dr. David Weinstein.
The indictment cites Marshall’s involvement in lengthy legal proceedings as a result of the 1993 sale of Parsec Aviation Services to Cosmoway International.
Cosmoway sued Marshall, alleging fraud, rescission and breach of contract, and asked for declaratory relief.
On June 25, 1996, Marshall filed Chapter 7 bankruptcy, and a year later settled the suit with Cosmoway.
Marshall subsequently sought investors for Colorado Materials Holding Co., a LandCo affiliate, but did not tell investors about the problems with Cosmoway, according to the indictment.
The indictment says that Marshall told investors in Colorado Materials Holding Co. that he had a degree from the University of Colorado, and that he attended graduate school at the Anderson School of Business. The indictment also says that Marshall told investors that the Bradford Mesa quarry had 400 million tons of rock.
According to the indictment, “none of these facts were true.”
Colorado Materials Holding Co. filed Chapter 11 bankruptcy April 14, 2003.
The indictment says that “the above facts, as well as others, were not disclosed to Kathleen and Gary Walters, to Howard Berlin, and to (other) investors …”
And finally, the indictment says that “a federal tax lien against Raymond Marshall was recorded in October 2008.” The existence of this lien, first reported by CSBJ during March of this year, was not disclosed “to any investors.”