President of Pet Food Company Indicted on Fraud Charges
|U.S. Attorney’s Office June 04, 2012|
ST. LOUIS, MO—Frank Renick was president of Spectrum Pet Care Inc., a manufacturer of pet food and pet treat products, located in Montgomery County, Missouri. The indictment alleges that Renick sold over $7 million of investments in Spectrum, including stocks, bonds, and promissory notes to over 250 investors in Missouri and other states.
The indictment states that between 2006 and May 2011, Renick induced investors to invest substantial sums of money in Spectrum by making false representations about Spectrum’s financial condition and how the invested funds would be used. He told investors that their investments would be used to purchase equipment and to fund operations. Although some the funds were used for the business, Renick allegedly used substantial portions to repay existing investors and to pay for his personal expenses unrelated to the business. The indictment alleges that investors lost millions of dollars as a result of Renick’s scheme.
Frank Renick, Montgomery City, Missouri, was indicted by a federal grand jury on three felony counts of mail fraud. The indictment was returned May 30 but remained sealed until the arrest of the defendant earlier today.
If convicted, each count of mail fraud carries a maximum penalty of 20 years in prison and/or fines up to $250,000. In determining the actual sentences, a judge is required to consider the U.S. Sentencing Guidelines, which provide recommended sentencing ranges.
This case was investigated by the Postal Inspection Service and the Federal Bureau of Investigation. Assistant United States Attorney Reginald Harris is handling the case for the U.S. Attorney’s Office.
As is always the case, charges set forth in an indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.