Ponzi Scheme Takes $62 Million from 980 Investors

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Earlier this month, Robert L. Gavin and Daniel J. Hogan were accused of conducting a Ponzi scheme in western North Dakota.

Their company, North Dakota Developments, LLC, reportedly defrauded 980 investors from 66 countries out of $62 million. One of their developments, the Great American Lodge Watford City, now lies vacant after all utilities were shut off without warning to the tenants. More than 150 workers were displaced as a result. Some community members are outraged that this could happen so close to home.

"We come out here, we leave our families and stuff. Most of us, everybody out here, is from out of state and just for that to happen, it's devastating. I feel bad for everybody that that happened to," said Bob Savage, Watford City resident.

This is the third reported Ponzi scheme in North Dakota since 2008.