The properties were actually owned by Rockwell TIC, a Utah company, and its tenant, an event venue operator Noah Corporation.

A Massachusetts investor is charging a New Hampshire firm for “luring” it into a multi-million Ponzi scheme in order to get a piece of the action.

Homes Development Corp. HDC, of Burlington, filed suit last week in U.S. District court in Concord against Edmund & Wheeler, Inc, a Franconia company which specializes in 1031 exchanges, named after a section of the Internal Revenue Code that allows investors to defer capital gains on real estate as long as those gains are invested in a similar property.

HDC had been using EWI before and therefore trusted the company when it suggested that it put $5 million into “a venture with a lengthy history of stable profitability,” according to the suit. Those properties were owned by Rockwell TIC, a Utah company, and its tenant, an event venue operator Noah Corporation, promising a…

Read more…