INDIANAPOLIS – Indiana Secretary of State Diego Morales announced today that the Indiana Securities Division has issued a cease and desease to stop an alleged fraudulent investment scheme concerning a Pickleball apparel and equipment company, All About Pickleball LLC., also known as “PICKLEBALL ROCKS.”
The petition alleges that Rodney U. Grubbs of Brookville, personally and through his companies, solicited investments in promissory notes from investors. The notes Grubbs is alleged to have sold contained a high-interest rate of 12% compounded monthly and an 18% penalty provision in the case of default. As part of the scheme, Grubbs allegedly encouraged investors to roll over the investment into a new one, thereby avoiding default and paying any of the investors their returns.
Grubbs used pickleball tournaments to meet and solicit investors and told them at the time the money they invested would be used to grow his company by allowing him to buy more inventory. Grubbs allegedly told multiple investors that the slot was the last available one, misrepresenting the investment opportunity’s size and true nature. Many of Grubbs’ investors have not been repaid.
The Indiana Uniform Securities Act requires most people selling investments to be registered to do so. Indiana Secretary of State Diego Morales reminds Hoosier investors to remain vigilant when investing and to utilize resources on the Indiana Securities Division website to research whether the security or the person offering to sell securities is properly registered.
“In most securities transactions, the security seller must make all the proper disclosures to the buyer regarding the investment. Doing otherwise can lead to criminal or civil violations of Indiana law. These duties exist to protect Hoosier investors and ensure transparency in securities transactions,” said Indiana Secretary of State Diego Morales.
Registration information can be found on the Indiana Secretary of State, Securities Division’s website at https://securities.sos.in.gov/, under the registrations tab.
