T
he owners of a Tigard-based residential real estate firm have been accused of defrauding investors and commercial lenders out of more than $18 million, according to a federal indictment unsealed on Tuesday. Robert D. Christensen, 54, of Sherwood, and Anthony M. Matic, 55, of Damascus, each face charges of conspiracy to commit wire fraud, wire fraud, and money laundering in a 21-count indictment.

    From January 2019 through at least June 30, 2023, the two men allegedly misled investors about how their money would be used and the financial health of their company, which was actually in "survival mode," according to the indictment. They claimed that investor money would be used to buy undervalued residential properties in the Midwest, renovate them, and then rent them out to generate income and refinance them to extract increased values from the renovations. They also promised investors a full principal repayment with interest up to 15% and a large lump sum within 30- to 90-day periods.

    However, the business was struggling to survive, and the owners were "underwater" and owed millions of dollars to existing investors, according to the indictment. Christensen cited his nearly 20 years of experience in the real estate industry, while Matic held himself out as a former correctional officer for the Multnomah County Sheriff’s Office for more than 25 years and a licensed real estate agent for more than 15 years.

    The two men allegedly used money from new investors to pay earlier investors to keep their business afloat "on the unfounded hope that a solution would present itself," according to the indictment. They also defrauded commercial lenders by submitting applications containing false financial information about their businesses, prompting lenders to provide millions of dollars in loans to them.

    The U.S. Securities and Exchange Commission began investigating the two men for violating federal securities law and filed a complaint against them in 2023, according to court records. The commission identified four businesses the two had founded: The Commission PDX LLC, Foresee Inc., The Policy PDX LLC, and Innings 150 LLC. The two men and their companies reached financial settlements with the federal commission but didn't admit the allegations, agreeing to pay $5.4 million back. Christensen and Matic also each agreed to pay $200,000 in penalties, according to court records.

    Both men made their first appearances on the criminal indictment Tuesday before U.S. Magistrate Judge Jolie A. Russo in Portland. They each entered not guilty pleas and were released pending trial. A seven-day trial is scheduled for Oct. 29.