According to a press release from the Ohio Department of Commerce Division of Securities, Barbara E. Armstrong and her husband, Thomas J. Armstrong, were indicted by a Crawford County Grand Jury on September 24 on 19 criminal counts, including securities fraud, sale of an unregistered security, theft from the elderly, and telecommunications fraud.
The charge comes after an investigation and referral from the Ohio Division of Securities.
The indictment alleges that from at least May 2017 to July 2021, the Armstrongs solicited at least five Crawford County residents and two Florida residents to invest over $750,000 in promissory notes issued by their company, 5 Star Development of Ohio, LLC, for the purchase, renovation, and/or resale of residential homes.
Furthermore, the indictment says that the promissory notes were not properly registered with the Division for sale in or from Ohio and that the Armstrongs stole investor cash for personal use, according to the release.
According to the department, the Armstrongs will appear in Crawford County court later this month. The court expects to arraign Thomas Armstrong on October 21, and Barbara Armstrong on October 28.
“Our division remains steadfast in its commitment to protecting Ohioans from these types of fraudulent schemes,” Ohio Securities Commissioner Andrea Seidt stated. “It is always disheartening to see people take advantage of their community’s trust for personal gain.” We will continue to seek justice for everyone affected by such deceptive activities.”
Ohioans with questions or concerns about investments or financial advisors should call the Division of Securities at 614-644-7381 or by filling out the online contact form.