Broomfield tech company sued for investor fraud
Colorado’s securities commissioner filed suit against a Broomfield-based entity and its principals, saying they defrauded investors into raising nearly $3 million to fund a technology that has not made it to market.
The state’s complaint was filed in Denver District Court against Colorcom Ltd. and its related businesses — IFR Technologies Inc., which did business as Accelerated I/O Inc., and Custom Design and Manufacturing Inc. — and its principals Joseph D. Doll, of Broomfield, and Richard H. Janoka, of Colorado Springs.
The complaint calls for an injunction against the Broomfield-based companies and for the firms to rescind the funds that were “fraudulently obtained.”
Doll, the businesses’ founder, denied the claims that he, Janoka and the businesses were defrauding people.
“We never intended to do anything wrong,” he said Monday. “We were engineers who may not have known all the rules.”
In the complaint, state officials allege that from at least December 2004 to July 2008, Doll and Janoka violated Colorado`s anti-fraud and securities registration provisions by making false statements to induce “hundreds” of people — including at least five Colorado residents — into investing in a technology called “Pac-n-Zoom” that allowed for better compression for computer images.
Guilty pleas in wheelchair fraud cases
Two defendents in Medicaid wheelchair-fraud cases have pleaded guilty.
Cortney Ileane Miller, 55, pleaded guilty Aug. 14 to forgery, a class-five felony.
According to court documents, Miller, who is now a Texas resident, worked in an Adams County wheelchair supply company owned in part by her husband. She acquired an invoice from a supplier for an expensive power wheelchair. She modified the invoice and included it in support of several bills that she submitted to the Colorado Medicaid program for other clients. Most of the bills were for much less expensive equipment, but Miller claimed the high price supported by the false invoice, plus profit.
In a separate, unrelated case, Michelle Riley, 41, a former co-worker of Miller, pleaded guilty in Denver District Court on July 24, 2009 to theft, a class-four felony, and forgery, a class-five felony, stemming from charges that she submitted several false Medicaid bills to the state.
Riley received five years probation with restitution of more than $63,000.
According to court documents, Riley, owner of a Denver-based wheelchair supply company, submitted bills to Medicaid for three wheelchairs which were never supplied to the recipients, and over-billed three other wheelchairs and one power scooter. Riley also allegedly falsified wheelchair repair records to collect for repairs that did not happen. Riley and Miller had worked together in the past, but their crimes appeared unrelated.
UNC helps study social media
The University of Northern Colorado will join 33 other colleges and universities in a study of connecting communities through social media.
UNC will participate in the American Democracy Project’s eCitizenship initiative. The project is aimed at researching how social media can be leveraged by educational institutions to prepare students for civic engagement. It will be led by the Center for the Study of Citizenship at Wayne State University in Detroit.
At UNC, the Center for Honors, Scholars and Leadership will lead the effort. The team will include students and faculty and will launch a pilot social networking project for first-year students.
“Intentional social networking is much more powerful than just learning to use Facebook and finding new and old friends,” said Michael Kimball, UNC’s eCitizenship coordinator and HSL director, in a prepared statement. “It lets students become full partners in effecting change in their communities on their own terms. Everyone has something different and important to bring to a social network — it’s all about reciprocity, efficacy, and passion.”