Las Vegas Sun

March 19, 2024

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Former Gov. Guinn’s son sued

Hard Money and Hard Times

Hard Money and Hard Times, seg. 2

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Hard money brokers provide quick, no-fuss financing at double-digit interest rates to developers who can't get or don't want to get loans from banks. In good times borrowers make their payments and investors collect high-yield returns. In bad times borrowers default and lenders get left with property that may sell for a fraction of the previously appraised valued.

So is it the bad economy or bad practices that have some investors suing Jeff Guinn, the owner of Aspen Financial and son of former Governor Kenny Guinn? Tonight on Face to Face hear allegations that Jeff Guinn pocketed extension fees intended for investors and diverted millions to himself and colleagues without investors' knowledge.

Seasoned real estate expert Donna Ruthe estimates her Aspen portfolio losses in the millions. Ruthe and her husband, former Boyd Group executive Chuck Ruthe, are spending a fortune to sue. But I also spoke with a widow who lost her husband three years ago. She declined to go on camera but says she invested her husband's life insurance proceeds with Aspen in what are now non-performing loans. Her 18- and 22- year old sons have been forced to drop out of college. An expensive lawsuit seems out of the question.

Guinn and his attorneys declined to appear on the program but sent a statement saying that Aspen denies any allegations that cast it in a bad light and that the company looks forward to defending itself and its principals at the appropriate time. The lawsuit is posted to the right.

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