A St. Louis man has confessed to operating a fraudulent investment scheme that swindled investors out of hundreds of thousands of dollars over a period nearing a decade. Robert F. Rothluebbers, age 68, plead guilty to wire fraud in U.S. District Court in St. Louis, according to an official announcement by the U.S. Attorney’s Office.
Rothluebbers admitted to running the Ponzi scheme from October 2014 through January 2024, deceiving investors by promising to purchase R-22 refrigerant in bulk at a discount to then sell to contractors at a substantial profit. His narrative, framed around the phasing out of R-22, erroneously assured investors of large returns on their investments. In reality, Rothluebbers funneled the cash to pay previous investors, personal expenses, and relatives.
In his admission, Rothluebbers revealed that he raised at least $350,000 from four different investors from October 2014 to May 2017. Instead of fulfilling his end of the purchase agreements, however, he utilized the capital for other means, including repaying other investors in what turned out to be a classic Ponzi setup. Ponzi scheme payments totaled about $171,450, most of which were made after his fraudulent activities were brought to light by the investors.
When confronted by his investors for failing to deliver returns, Rothluebber resorted to fabricating a series of false excuses. He claimed that the funds were inaccessible due to being frozen by financial institutions and the Internal Revenue Service, excuses that were later found to be baseless. Robert F. Rothluebbers is now waiting to be sentenced on December 12; wire fraud is a crime that can lead to up to 20 years of prison time, and a fine amounting to $250,000, or both.
The Federal Bureau of Investigation handled the inquiry leading up to Rothluebbers’ confession while Assistant U.S. Attorney Jonathan Clow is charged with prosecuting the case.
