Frequently Asked Questions

 

The following are “Frequently Asked Questions” about the action.

Why did I get a notice?

You may have invested in United American Ventures, LLC convertible bonds from July 25th, 2007 through at least November 2009.

Is this a Class Action?

No. The SEC v. UAV Distribution Fund is the result of an enforcement action brought by the U.S. Securities and Exchange Commission.

What is this about?

From approximately July 25, 2007 through at least November 2009, United American Ventures, LLC (“UAV”) raised at least $10 million from approximately 100 investors in multiple states through the unregistered and fraudulent sale of so-called “convertible bonds.” These bonds purport to pay an annualized interest rate of 25 percent and provide a 10 percent up-front “interest bonus,” such that someone who invests $100,000 in a UAV bond purportedly would receive interest on a principal amount of $110,000. UAV represented that investors can either collect monthly interest payments on their bond or compound the interest, which purportedly will result in a higher payoff when the bond matures after three or four years.

UAV sold its bonds through a network of “referrers” or “finders,” who were paid substantial fees for each new investment they have brought to UAV. Between approximately April 8, 2009 and November 2009, UAV’s main source of new investors was Integra Investment Group, LLC (“Integra”) and Integra’s president, Anthony (“Tony”) J. Oliva. Through its aggressive marketing efforts, which included a website, brochures, and seminars, Integra directed to UAV approximately 50 investors, who invested approximately $3.5 million in UAV bonds. In return for those referrals, UAV paid Integra at least $340,000 in fees.

UAV purports to be a venture capital fund that invests in companies with “late-stage” pharmaceutical or medical device technologies and takes those companies public or sells them to other, larger companies in private transactions. Its offering materials repeatedly claim, among other misrepresentations, that UAV is able to pay 25 percent interest on its bonds because it can reliably earn far greater returns (in excess of 300 percent) on the ventures in which it invests. Integra and Oliva similarly have characterized UAV’s bonds as “guaranteed” and have assured investors that UAV, at all times, maintains sufficient assets to cover its obligations to bondholders.

In reality, UAV had never earned a return from any investment in any venture at any time. Instead, it had paid monthly interest payments to existing bondholders with money contributed by new investors. Further, of the approximately $10 million it had collected from investors, UAV invested only a small fraction in the medical ventures that were supposed to generate the promised returns. Virtually all the rest was paid to referrers like Integra, returned to investors as monthly interest payments, or used to cover UAV’s operating expenses. As a result, UAV was close to collapse at various times and, as of mid-December 2009, had only enough cash on hand to cover approximately one month of expenses.

How do I join?

To participate in the action, you need to fill out the Claim Form and mail it to:

SEC v. United American Ventures LLC, et al.
P.O. Box 2003
Chanhassen, MN 55317-2003

You may also send via Fax to:
(952) 404-5750

Or via email at: [email protected]

What is the deadline to submit my claim form?

The Claim Form must be submitted no later than August 1, 2017.

What does the Distribution Plan provide?

The amount available for distribution is $374,959.60, which will earn interest, to be distributed, after deduction of Court-approved attorneys’ fees and expenses, administration costs, and any applicable Taxes (the “Net Available Fund”) among all Claimants who submit valid Claim Forms and are found by the Court to be entitled to a distribution from the Net Available Fund (“Eligible Claimants”).

My spouse or relative received a claim form by mail, but they are deceased or incapacitated.

If you believe you are entitled to act on the deceased or incapacitated Potentially Eligible Claimant’s behalf, please provide a copy of any death certificate and a letter detailing who you are and your relationship to the Potentially Eligible Claimant along with the signed Claim Form.

Will I be notified whether my claim was received by the Distribution Agent?

No, but you may call the Distribution Agent at 866-853-0779 to confirm they have received your claim form.