RAD Diversified SCAM ALERT!!!

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RAD Diversified SCAM ALERT!!!

Arthur Crum
Member since 2019 · 7 posts · 33 votes

Hello,

I Just wanted to give everyone a quick update on the RAD Diversified scandal that is currently unfolding. As of April 1, 2024, RAD Diversified (a REIT), has officially put a freeze on withdrawing any and all funds from the REIT. If I had to speculate, I would say they are facing some serious liquidity issues. Interestingly enough, I came across an article in the Philidelphia Inquirer that raised concerns about the REIT two years ago. It's pretty much spot on. Looks like your classic Ponzi scheme. It would appear good ole Dutch has been using new investor funds to pay liquidations i.e. robbing Peter to pay Paul. I guess the well has run dry.

I myself was duped into investing $5000 (unaccredited) into the fund and will now no longer be able to liquidate any portion of my shares. The URL provided above will take you to official statement that RAD has provided to the SEC. Personally, I doubt its authenticity, but that's the direct information I was provided with from Alexander Prock, as of one hour ago. I also know that RAD's accreditation with the BBB has been revoked due to the massive influx of similar complaints that have been pouring in since the official statement was released on April 1st, 2024.

I would strongly advise ALL BP members to stay far away from this scam. I highly doubt I will ever see my money again. I would sincerely hope that the SEC has begun looking into this and/or the FBI. And, by the way, Dutch Mendenhall the CEO of RAD, has been a member of the BP community now for several years so feel free to chime in bud. Below is a copy of the SEC statement. It really makes me sick that these scam artists run rampant while the SEC does absolutely nothing to combat the issues. Anyway, please feel free to do your own due diligence but it looks like we all got got.



"On April 1, 2024, the board of directors (the “Board") of RAD Diversified REIT, Inc. (the "Company”) decided, in accordance with the terms of its Share Redemption Program, to continue the temporary freeze of the Company’s redemption program. The Company will not process any pending requests that have not been redeemed as of February 1, 2024 nor will it accept any redemption requests after April 1, 2024. Pending redemption requests will remain in queue until the Company recommences the redemption program. The Board intends to reassess this decision to determine whether to recommence the redemption program or to continue to pause the redemption program no later than July 1, 2024."

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Jay HinrichsBusiness Member
Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
2y
Quote from @Scott Trench:

I have no idea what is happening at this particular fund, and can’t chime in on any specifics.

I will say that I, along with many investors in the community, have likely lost a lot of money. Syndicators who bragged about how smart they were, showed off fancy lives, cars, private jets, and mansions, second homes, and wrote books and sold expensive courses about how smart they are at investing are being exposed all over the place. Sometimes, these syndicators who are actively in process of wiping out investor’s life savings, even brag about how automated their businesses are and how they don’t have to work!

I’m not making the same mistakes with my money again, nor will I allow investors who made their name in part on BiggerPockets to go unexposed if they treat investors poorly, lose huge amounts of investor money, or clearly mismanage funds.

We are starting PassivePockets.com and launch it in June. We will learn how to find and vet “good” and expose “bad” for ALL to see. In the meantime, we will watch the forums for more posts about the syndicators who handle situations to the chagrin of their investors. 


 Morning Scott,  I missed this post and posted above but its worth repeating. What I see irrespective of how the deals are going is the lack of communications from these syndicators
with respect to how their deals are actually doing. Communication good or bad goes along way to keeping investors from being upset to going ballistic on the internet and creating irreparable harm to the syndicators reputations.

It seems that most of the BP influencers I have seen over the years have stepped into MF syndication with varying results. So to that end they are new to the game never went through a deep downturn cycle. And for them rasing capital on SM BP facebook whatever has been fairly easy compared to others who dont have a big SM or BP presence.  This is where the crowdfunding sites helped a lot fo those types scale.

The play book as you described is an old one when it comes to marketing themselves nothing different than what the how to trainer do. The difference is they are stuck with a certain asset as we are seeing. The trainers just pivot to what is working today and set up training in that niche. But its all the same big budget for marketing and go hammer the airwaves/internet. Sell the sizzle etc etc.

Having been front and center in the late 80s of a billion dollar syndication company ( was an independent contractor in charge of finding and entitling their land projects in northern CA.) I saw what happens when these things start to go south and from my mind most of these companies that could be struggling now simply do not have enough staff to handle all their investors needs in a timely fashion and when things go bad like we see posted on BP right now lack of up front communications leads to Investors going out of their minds with worry and the blame game starts. Then of course google searches bring all these things to the front page and next thing you know reputations get hammered..

As one who personally had a medium sized HML company going into 2007 2008 with 600 loans on my books and by 2010 went through a massive re value melt down all of us in that business got hammered for us we started in 2001 and by 2010 had to basically shut down let go 90% of staff and spent 3 to 4 years hemorrhaging our net worth's to make sure our banks got paid ( which to my personal financial situation was devastating) Most of my peers went out of business completely ( BK) I did not but by 2011 I was basically starting over. But with my head held high gone was all the normal trappings of RE success being served as a big slice of humble pie :(.

And as my core commercial banks understood that I doing everything i could to protect them. The one bank left kept a 1 mil line of credit for me ( down from 15 mil) had me  on a 90 day extensions for 4 years and allowed to to earn back in. Its taken basically 12 years to get back to maybe half of what I had at the time.

Bottom line RE cycles and I suspect most of the folks that are having issues did what they thought was correct or right and the market has gone against them.. If they are not changing their personal lifestyles to adjust to this, not communicating, doing new deals leaving old ones to wither then you know what your dealing with the goal ( human nature i guess) is to keep lifestyle intact at all costs.

To that end I just paid off yesterday my last legacy bank debt took me 12 years but its done an gone now. But those same banks stuck with me and allowed me to pivot and build up my new construction side using bank debt intead of HML.. etc etc.

So If i was guessing most of the folks having issues in the space have very little assets aimed toward client relations and communications but still do big spends on advertising for new blood.

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  • Joseph M.
    Member since 2025 · 50 posts · 33 votes
    11mo

    Correct me if I'm wrong, but I believe only the "RAD REIT" was an REG A offering. They continue to raise money for joint ventures, hard money loans, private equity, etc. outside of the REIT. They have over 10 LLCs that they use to raise money. There's definitely still wrongdoing here, just hoping something very serious in terms of legal charges will stick.

    1Reply
  • Josh Bradbury Jr
    Member since 2024 · 9 posts · 12 votes
    11mo
    Dutch if you read this I hope your life is falling apart and every single person in your life knows you’re a fraud. I hope you rot in a cell for 20 years. It’ll be good for you to have some time to reflect on how many people you screwed over you greedy POS
    0Reply
  • Barbara RadkePro Member
    Westlake Village, CA · Member since 2021 · 16 posts · 15 votes
    8mo

    I'm curious if anyone has an update?

    0Reply
  • Alan David
    Member since 2024 · 95 posts · 35 votes
    8mo

    they had zoom meeting that's all I know .
    I missed it

    0Reply
  • Stuart UdisPro Member
    Attorney · Philadelphia · Member since 2018 · 2k+ posts · 3k+ votes
    8mo

    For those who invested in RAD Diversified Stocks, did you ever look at the type of real estate the firm was holding and question whether the stated valuations truly reflected the underlying assets?

    From the RAD Website:  The offering price per share is calculated based on the net asset value (NAV) of the company divided by the number of outstanding common shares. As of July 12, 2023, our net asset value gave us a Determined Share Value of $25.04, which became the new calculated selling price per share as of July 12, 2023.

    [email protected]
    0Reply
    • Chris SeveneyBusiness Member
      Moderator
      Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
      8mo
      Quote from @Stuart Udis:

      For those who invested in RAD Diversified Stocks, did you ever look at the type of real estate the firm was holding and question whether the stated valuations truly reflected the underlying assets?

      From the RAD Website:  The offering price per share is calculated based on the net asset value (NAV) of the company divided by the number of outstanding common shares. As of July 12, 2023, our net asset value gave us a Determined Share Value of $25.04, which became the new calculated selling price per share as of July 12, 2023.

      For educational purposes for those reading this, questions you would want to ask are:

      1. Who was calculating those values, 

      2. Did they have appraisals done or how was it determined?

      3. If it was internally was it independently confirmed or validated?

      4. Did it match what was being noted in the audited financials?

      5.Sometimes for single family rentals companies will base it on cap rate in low income areas with low values to inflate prices. Watch out for that as thats not how you value real estate on single families.

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    • Jonathan Karas
      Member since 2024 · 25 posts · 4 votes
      8mo
      Quote from @Chris Seveney:
      For educational purposes for those reading this, questions you would want to ask are:

      1. Who was calculating those values, 

      2. Did they have appraisals done or how was it determined?

      3. If it was internally was it independently confirmed or validated?

      4. Did it match what was being noted in the audited financials?

      5.Sometimes for single family rentals companies will base it on cap rate in low income areas with low values to inflate prices. Watch out for that as thats not how you value real estate on single families.

      I see you're still victim blaming, as usual.


      0Reply
    • Chris SeveneyBusiness Member
      Moderator
      Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
      8mo
      Quote from @Jonathan Karas:
      Quote from @Chris Seveney:
      For educational purposes for those reading this, questions you would want to ask are:

      1. Who was calculating those values, 

      2. Did they have appraisals done or how was it determined?

      3. If it was internally was it independently confirmed or validated?

      4. Did it match what was being noted in the audited financials?

      5.Sometimes for single family rentals companies will base it on cap rate in low income areas with low values to inflate prices. Watch out for that as thats not how you value real estate on single families.

      I see you're still victim blaming, as usual.



       Respectfully disagree, I am trying to share my knowledge with people so this does not happen again. Every person should read an offering with a fine tooth comb and not be afraid to ask the "tough questions". 

      Here is another rule of thumb: Any sponsor that also has $50k "circle or clubs" to teach you to invest is the biggest red flag out there. run far far away. 

      Lastly for a Reg A offering language notes for non-accredited investors are limited to invest no more than 10% their annual salary or net worth outside (not including their primary residence). This is something that investors also should strongly follow. 

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  • Joseph M.
    Member since 2025 · 50 posts · 33 votes
    8mo

    @barbara

    Just waiting for the Feds to act. Please be part of the solution and complete a very simple 3 min complaint form online for SEC, FBI and FL attorney general. PLEASE! 
    so many people are interested in what’s happening but not willing to act and help out. 
    I will say that this week an investor who invested with credit card as funding method years ago just noticed her card was swiped again from RAD without her consent. So they might be desperate for money and now potentially be committing credit card fraud too? 

    @Stuart Udis @chad 

    No most of us clearly didn’t do enough due diligence. With that said, since all of this has come to light, many prior employees have stepped forward and basically acknowledged all those numbers were made out of thin air. This was just fraud from the very beginning so any proper due diligence questions would have just received complete lies as answers 

    2Reply
  • Stuart UdisPro Member
    Attorney · Philadelphia · Member since 2018 · 2k+ posts · 3k+ votes
    8mo

    @Joseph M. I understand the valuations were never truly accurate, but I do believe there were opportunities to identify red flags along the way starting with the valuation bumps that were occurring in largely C/D location properties. That alone should have raised some questions. As a Philadelphia resident, I admittedly have access to more localized knowledge of the market, as well as familiarity with free public resources the city provides to review permit history, violations and deed records. In several instances, properties that were reported as "stabilized" still had open violations suggesting the homes were not only vacant, but also unrenovated. There were also examples of properties initially owned by RAD principals that were later sold into the REIT at substantial markups, raising further questions about the reliability of the stated real estate values. Then there are the principals and key staff members who had largely nonexistent track records- questionable at best.

    [email protected]
    0Reply
    • Brent Mendenhall
      Member since 2024 · 28 posts · 3 votes
      8mo
      Quote from @Stuart Udis:

      @Joseph M. I understand the valuations were never truly accurate, but I do believe there were opportunities to identify red flags along the way starting with the valuation bumps that were occurring in largely C/D location properties. That alone should have raised some questions. As a Philadelphia resident, I admittedly have access to more localized knowledge of the market, as well as familiarity with free public resources the city provides to review permit history, violations and deed records. In several instances, properties that were reported as "stabilized" still had open violations suggesting the homes were not only vacant, but also unrenovated. There were also examples of properties initially owned by RAD principals that were later sold into the REIT at substantial markups, raising further questions about the reliability of the stated real estate values. Then there are the principals and key staff members who had largely nonexistent track records- questionable at best.


      A perfect example of principals/key staff members and nonexistent track records is a more relatively recent advertising (with OmniCo Golf initiative and Wentworth Golf Club in Tarpon Springs FL) of Amy Vaugh (Co-owner of RAD Diversified and the many other entities under their name) that she is a "powerhouse in the golf industry" and has a "deep background in golf course management"...it goes on to say more, but you get the idea.  Wentworth Golf Club is now the laughing joke in that area of Florida.  Also, in reference to the RADD properties, I can only imagine many were leveraged at 100-150%.  Barry Minkow provided much data on a sample on many of the properties.  

      0Reply
    • James Miller
      Member since 2024 · 45 posts · 17 votes
      8mo
      Quote from @Brent Mendenhall:
      Quote from @Stuart Udis:

      @Joseph M. I understand the valuations were never truly accurate, but I do believe there were opportunities to identify red flags along the way starting with the valuation bumps that were occurring in largely C/D location properties. That alone should have raised some questions. As a Philadelphia resident, I admittedly have access to more localized knowledge of the market, as well as familiarity with free public resources the city provides to review permit history, violations and deed records. In several instances, properties that were reported as "stabilized" still had open violations suggesting the homes were not only vacant, but also unrenovated. There were also examples of properties initially owned by RAD principals that were later sold into the REIT at substantial markups, raising further questions about the reliability of the stated real estate values. Then there are the principals and key staff members who had largely nonexistent track records- questionable at best.


      A perfect example of principals/key staff members and nonexistent track records is a more relatively recent advertising (with OmniCo Golf initiative and Wentworth Golf Club in Tarpon Springs FL) of Amy Vaugh (Co-owner of RAD Diversified and the many other entities under their name) that she is a "powerhouse in the golf industry" and has a "deep background in golf course management"...it goes on to say more, but you get the idea.  Wentworth Golf Club is now the laughing joke in that area of Florida.  Also, in reference to the RADD properties, I can only imagine many were leveraged at 100-150%.  Barry Minkow provided much data on a sample on many of the properties.  

       i find this interesting coming from another Mendenhall.  did you get your millions and run?

      @Joseph M. there is a sales consultant that has been with Amy Vaughn for years and still with them that has felony charges on credit card charges and other charges.  she surounded herself with criminals.

      1Reply
    • Chris SeveneyBusiness Member
      Moderator
      Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
      8mo
      Quote from @James Miller:
      Quote from @Brent Mendenhall:
      Quote from @Stuart Udis:

      @Joseph M. I understand the valuations were never truly accurate, but I do believe there were opportunities to identify red flags along the way starting with the valuation bumps that were occurring in largely C/D location properties. That alone should have raised some questions. As a Philadelphia resident, I admittedly have access to more localized knowledge of the market, as well as familiarity with free public resources the city provides to review permit history, violations and deed records. In several instances, properties that were reported as "stabilized" still had open violations suggesting the homes were not only vacant, but also unrenovated. There were also examples of properties initially owned by RAD principals that were later sold into the REIT at substantial markups, raising further questions about the reliability of the stated real estate values. Then there are the principals and key staff members who had largely nonexistent track records- questionable at best.


      A perfect example of principals/key staff members and nonexistent track records is a more relatively recent advertising (with OmniCo Golf initiative and Wentworth Golf Club in Tarpon Springs FL) of Amy Vaugh (Co-owner of RAD Diversified and the many other entities under their name) that she is a "powerhouse in the golf industry" and has a "deep background in golf course management"...it goes on to say more, but you get the idea.  Wentworth Golf Club is now the laughing joke in that area of Florida.  Also, in reference to the RADD properties, I can only imagine many were leveraged at 100-150%.  Barry Minkow provided much data on a sample on many of the properties.  

       i find this interesting coming from another Mendenhall.  did you get your millions and run?

      @Joseph M. there is a sales consultant that has been with Amy Vaughn for years and still with them that has felony charges on credit card charges and other charges.  she surounded herself with criminals.


       I don't believe other family members have been charged in the Florida lawsuit. I know people who have been family members of others who ran awful schemes. For them if they're not involved it ends up being worse because they have the scarlet letter across their name. 

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    • Brent Mendenhall
      Member since 2024 · 28 posts · 3 votes
      8mo
      Quote from @Chris Seveney:
      Quote from @James Miller:
      Quote from @Brent Mendenhall:
      Quote from @Stuart Udis:

      @Joseph M. I understand the valuations were never truly accurate, but I do believe there were opportunities to identify red flags along the way starting with the valuation bumps that were occurring in largely C/D location properties. That alone should have raised some questions. As a Philadelphia resident, I admittedly have access to more localized knowledge of the market, as well as familiarity with free public resources the city provides to review permit history, violations and deed records. In several instances, properties that were reported as "stabilized" still had open violations suggesting the homes were not only vacant, but also unrenovated. There were also examples of properties initially owned by RAD principals that were later sold into the REIT at substantial markups, raising further questions about the reliability of the stated real estate values. Then there are the principals and key staff members who had largely nonexistent track records- questionable at best.


      A perfect example of principals/key staff members and nonexistent track records is a more relatively recent advertising (with OmniCo Golf initiative and Wentworth Golf Club in Tarpon Springs FL) of Amy Vaugh (Co-owner of RAD Diversified and the many other entities under their name) that she is a "powerhouse in the golf industry" and has a "deep background in golf course management"...it goes on to say more, but you get the idea.  Wentworth Golf Club is now the laughing joke in that area of Florida.  Also, in reference to the RADD properties, I can only imagine many were leveraged at 100-150%.  Barry Minkow provided much data on a sample on many of the properties.  

       i find this interesting coming from another Mendenhall.  did you get your millions and run?

      @Joseph M. there is a sales consultant that has been with Amy Vaughn for years and still with them that has felony charges on credit card charges and other charges.  she surounded herself with criminals.


       I don't believe other family members have been charged in the Florida lawsuit. I know people who have been family members of others who ran awful schemes. For them if they're not involved it ends up being worse because they have the scarlet letter across their name. 

      @Chris Seveney Thank you Chris, I was with RAD from Jan 2022 until Oct 2024. I never had a close relationship with my brother (s) until joining RAD (mainly due to age difference and family situations, to include myself being a career military guy). I truly dont feel I have a "scarlett letter" attached to me but totally understand what you are saying. My frustrations are that I knew something didnt seem right, engaged numerous times, and ultimately was let-go/fired. I myself, gave all my cash I had to a Hard Money Loan is May 2022 that never got paid back at 12-months as indicated within HML. It was a considerable amount, and all the cash reserve I had saved (military doesnt make anyone very rich haha). I know others within the company such as the COO and other close to Dutch and / or Amy received money that was not as old of a note than mine.

      What I am thankful for is that I never moved any of my IRA $ over or any other type of "investment". Other reasons I have been a bit vocal is that many ex employees are owed thousands. My daughter, Dutch's neice, is one of those employees. There were good employees within RADD, all are gone now basically. I brought is some other close friends from the Special Operations community early on when I joined, they were some of the best professionals there are...West Point Grads, Harvard Business, etc...they are all gone also.

      I crossed paths and are still friends with many investors and others.  Its a sad situation.  Thank you for trying to inform people so they and others dont make the same mistake.

      0Reply
    • Chris SeveneyBusiness Member
      Moderator
      Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
      7mo
      Quote from @Brent Mendenhall:
      Quote from @Chris Seveney:
      Quote from @James Miller:
      Quote from @Brent Mendenhall:
      Quote from @Stuart Udis:

      @Joseph M. I understand the valuations were never truly accurate, but I do believe there were opportunities to identify red flags along the way starting with the valuation bumps that were occurring in largely C/D location properties. That alone should have raised some questions. As a Philadelphia resident, I admittedly have access to more localized knowledge of the market, as well as familiarity with free public resources the city provides to review permit history, violations and deed records. In several instances, properties that were reported as "stabilized" still had open violations suggesting the homes were not only vacant, but also unrenovated. There were also examples of properties initially owned by RAD principals that were later sold into the REIT at substantial markups, raising further questions about the reliability of the stated real estate values. Then there are the principals and key staff members who had largely nonexistent track records- questionable at best.


      A perfect example of principals/key staff members and nonexistent track records is a more relatively recent advertising (with OmniCo Golf initiative and Wentworth Golf Club in Tarpon Springs FL) of Amy Vaugh (Co-owner of RAD Diversified and the many other entities under their name) that she is a "powerhouse in the golf industry" and has a "deep background in golf course management"...it goes on to say more, but you get the idea.  Wentworth Golf Club is now the laughing joke in that area of Florida.  Also, in reference to the RADD properties, I can only imagine many were leveraged at 100-150%.  Barry Minkow provided much data on a sample on many of the properties.  

       i find this interesting coming from another Mendenhall.  did you get your millions and run?

      @Joseph M. there is a sales consultant that has been with Amy Vaughn for years and still with them that has felony charges on credit card charges and other charges.  she surounded herself with criminals.


       I don't believe other family members have been charged in the Florida lawsuit. I know people who have been family members of others who ran awful schemes. For them if they're not involved it ends up being worse because they have the scarlet letter across their name. 

      @Chris Seveney Thank you Chris, I was with RAD from Jan 2022 until Oct 2024. I never had a close relationship with my brother (s) until joining RAD (mainly due to age difference and family situations, to include myself being a career military guy). I truly dont feel I have a "scarlett letter" attached to me but totally understand what you are saying. My frustrations are that I knew something didnt seem right, engaged numerous times, and ultimately was let-go/fired. I myself, gave all my cash I had to a Hard Money Loan is May 2022 that never got paid back at 12-months as indicated within HML. It was a considerable amount, and all the cash reserve I had saved (military doesnt make anyone very rich haha). I know others within the company such as the COO and other close to Dutch and / or Amy received money that was not as old of a note than mine.

      What I am thankful for is that I never moved any of my IRA $ over or any other type of "investment". Other reasons I have been a bit vocal is that many ex employees are owed thousands. My daughter, Dutch's neice, is one of those employees. There were good employees within RADD, all are gone now basically. I brought is some other close friends from the Special Operations community early on when I joined, they were some of the best professionals there are...West Point Grads, Harvard Business, etc...they are all gone also.

      I crossed paths and are still friends with many investors and others.  Its a sad situation.  Thank you for trying to inform people so they and others dont make the same mistake.


       I had not seen this article 



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  • Joseph M.
    Member since 2025 · 50 posts · 33 votes
    8mo

    @Stuart Udis

    You are right with all of this. So they misrepresented every deal to us investors and sold it as a “Inner Cirle, $50k buy in, RAD does everything for the passive investor and oh btw, no investor ever lost money”

    Hopefully the SEC and Feds will see exactly what you just said and prosecute. 


    I clearly learned my lesson as did every other investor from all different disciplines (CPAs, Doctors are all victims in our group. But clearly RAD went after easily influenced retirees who have lost everything and force back into the workforce. Sad all around 

    1Reply
  • Alan David
    Member since 2024 · 95 posts · 35 votes
    8mo

    In front b know x what it takes to get v these people investigated

    I’ve contacted every agency in could think b of

    0Reply
  • Barbara RadkePro Member
    Westlake Village, CA · Member since 2021 · 16 posts · 15 votes
    8mo

    @Joseph M. We will go ahead and file a complaint this week, thank you for your reply. 

    0Reply
  • Joseph M.
    Member since 2025 · 50 posts · 33 votes
    8mo

    I’m told Brent is a good guy and Veteran. He parted ways with RAD and his brother when things went south. He is on the investors side and will likely testify against Dutch in the future if he hasn’t already as a former employee. 

    Thanks for all the help Brent and for doing the right thing. 

    0Reply
    • Jonathan Karas
      Member since 2024 · 25 posts · 4 votes
      8mo
      Quote from @Joseph M.:

      I’m told Brent is a good guy and Veteran. He parted ways with RAD and his brother when things went south. He is on the investors side and will likely testify against Dutch in the future if he hasn’t already as a former employee. 

      Just making sure.  Sarcasm, right?
      0Reply
    • Joseph M.
      Member since 2025 · 50 posts · 33 votes
      8mo
      Quote from @Jonathan Karas:
      Quote from @Joseph M.:

      I’m told Brent is a good guy and Veteran. He parted ways with RAD and his brother when things went south. He is on the investors side and will likely testify against Dutch in the future if he hasn’t already as a former employee. 

      Just making sure.  Sarcasm, right?

      I’ve never spoken with him personally but I know other investors have from “fight club”. Brent was actually in fight club with us for a while. What’s your personal experience with Brent? Did you interact with him when he was employed with rad?

       


      0Reply
    • Brent Mendenhall
      Member since 2024 · 28 posts · 3 votes
      8mo
      Quote from @Joseph M.:
      Quote from @Jonathan Karas:
      Quote from @Joseph M.:

      I’m told Brent is a good guy and Veteran. He parted ways with RAD and his brother when things went south. He is on the investors side and will likely testify against Dutch in the future if he hasn’t already as a former employee. 

      Just making sure.  Sarcasm, right?

      I’ve never spoken with him personally but I know other investors have from “fight club”. Brent was actually in fight club with us for a while. What’s your personal experience with Brent? Did you interact with him when he was employed with rad?

       @Joseph M. I entered the group for like an hour or two and was bombarded by direct messages so I exited!! haha.   I still have many friends (investors, previous employees etc), Ive helped previous employees get jobs, etc.  I talk almost daily with many of them.  I only hope for some type of closure for all.  Im not sure what that looks like as its probably different for everyone.  I have came to accept that I will never receive the HML and all my cash reserve I trusted with RADD.  It was quite a bit of money (for me anyways).  It doesnt matter if someone was a $1,000,000 investor and lost it or someone with $5,000, it can be just a drastic impact to each based on thier life situations etc.

      0Reply
    • Brent Mendenhall
      Member since 2024 · 28 posts · 3 votes
      8mo
      Quote from @Brent Mendenhall:
      Quote from @Joseph M.:
      Quote from @Jonathan Karas:
      Quote from @Joseph M.:

      I’m told Brent is a good guy and Veteran. He parted ways with RAD and his brother when things went south. He is on the investors side and will likely testify against Dutch in the future if he hasn’t already as a former employee. 

      Just making sure.  Sarcasm, right?

      I’ve never spoken with him personally but I know other investors have from “fight club”. Brent was actually in fight club with us for a while. What’s your personal experience with Brent? Did you interact with him when he was employed with rad?

       @Joseph M. I entered the group for like an hour or two and was bombarded by direct messages so I excited!! haha.   I still have many friends (investors, previous employees etc), Ive helped previous employees get jobs, etc.  I talk almost daily with many of them.  I only hope for some type of closure for all.  Im not sure what that looks like as its probably different for everyone.  I have came to accept that I will never receive the HML and all my cash reserve I trusted with RADD.  It was quite a bit of money (for me anyways).  It doesnt matter if someone was a $1,000,000 investor and lost it or someone with $5,000, it can be just a drastic impact to each based on thier life situations etc.

      0Reply
  • Stuart UdisPro Member
    Attorney · Philadelphia · Member since 2018 · 2k+ posts · 3k+ votes
    8mo

    @Jonathan Karas Chris was pointing out the sensible diligence steps most people would take before investing. I’d say he’s providing real value by laying out the proper steps to avoid making poor investments. You are so focused on being the victim that you cannot see that.

    To highlight this, you’ve been a member of BiggerPockets since 2024, have made virtually no connections (4), and every post you’ve made relates to RAD Diversified. That is not the pattern of someone interested in taking accountability, learning from mistakes, or improving how they approach investing. The resources are available, but you’ve chosen not to take advantage of them. It comes across as someone entirely focused on playing the victim.

    So I will be blunt: investing with RAD, despite information that has been publicly available for years, is honestly about as close as I have seen to the Nigerian prince scam in the real estate world. It was that blatantly and obviously bad.

    [email protected]
    0Reply
    • Jonathan Karas
      Member since 2024 · 25 posts · 4 votes
      2mo
      Quote from @Stuart Udis:

      @Jonathan Karas Chris was pointing out the sensible diligence steps most people would take before investing. I’d say he’s providing real value by laying out the proper steps to avoid making poor investments. You are so focused on being the victim that you cannot see that.

      To highlight this, you’ve been a member of BiggerPockets since 2024, have made virtually no connections (4), and every post you’ve made relates to RAD Diversified. That is not the pattern of someone interested in taking accountability, learning from mistakes, or improving how they approach investing. The resources are available, but you’ve chosen not to take advantage of them. It comes across as someone entirely focused on playing the victim.

      So I will be blunt: investing with RAD, despite information that has been publicly available for years, is honestly about as close as I have seen to the Nigerian prince scam in the real estate world. It was that blatantly and obviously bad.

      You can try to gaslight me, but the fact remains that RAD **stole** our money, and we **are** victims.  They need to pay up.  And I'll **also** be blunt.  Pound sand, poindexter.  Bye.  I won't read any of your replies, so don't bother wasting your time.  Bye-bye.


      0Reply
  • Brent Mendenhall
    Member since 2024 · 28 posts · 3 votes
    7mo

    @Chris Seveney yes, I knew the article was being written etc by Brandon @ Forbes.  Spoke to him and provided some names etc to speak to.

    0Reply
  • Alan David
    Member since 2024 · 95 posts · 35 votes
    7mo

    No surprise everyone left shams are hard to maintain but v this c one. Still kicking   Wish the sec would do something ! But their day c will come I know  it.

    0Reply
  • Barbara RadkePro Member
    Westlake Village, CA · Member since 2021 · 16 posts · 15 votes
    7mo
    0Reply
  • Brent Mendenhall
    Member since 2024 · 28 posts · 3 votes
    7mo

    @Barbara Radke where did you get this info?  Please provide a link so others can utilize.

    0Reply
  • Alan David
    Member since 2024 · 95 posts · 35 votes
    7mo

    google rad classaction, the attorneys get back quickly.

    0Reply
  • Christopher Cu
    San Jose, CA · Member since 2014 · 5 posts · 1 vote
    7mo

    Just found this - https://dm.epiq11.com/case/radd/info 

    0Reply
  • Christopher Cu
    San Jose, CA · Member since 2014 · 5 posts · 1 vote
    7mo

    I asked Perplexity AI how I should proceed with my RAD Divesified claim considering my investment was made directly to RAD and not through a broker dealer. This was the response -                                                  

    Because you invested directly with RAD Diversified around 2021 (through their online Reg A/Reg D offerings rather than an outside advisor), your main recovery paths are: (1) filing and maximizing your claim in the bankruptcy, and (2) possibly joining any group or class‑style investor case if and when it is organized.

    What your 2021 direct investment likely was

    • In 2021, RAD was actively selling common shares under its SEC‑qualified Regulation A offering via its own online portal, raising more than $25 million and selling over 1.7 million shares.​
    • Many investors like you wired or ACH'd funds directly to RAD without going through a broker‑dealer or investment adviser, so their only contractual relationship is with RAD (and any related subscription or note/JV documents RAD issued).

    How that affects your legal options

    • Because you did not use an outside advisor, you probably do not have a separate claim against a brokerage firm under FINRA rules (which some other investors do), so your primary defendant is RAD and its insiders.
    • As RAD is now in Chapter 11 and apparently moving toward liquidation after Ponzi‑type allegations and cash‑flow collapse, your direct claim against the company must be asserted in the bankruptcy (through a proof of claim) to keep you in line for any distributions.

    What you should do next (practical steps)

    1. Identify precisely what you bought
    2. Pull your 2021 subscription confirmations, offering circular / PPM, and any follow‑on statements or emails. These should show: security type (Reg A common shares vs any “secured” notes or JVs), number of shares/units, and dollars invested.
    3. Note any “stock buyback,” “liquidity every 6 months,” or minimum distribution promises, since those may be part of your misrepresentation story if you later join a lawsuit or group claim.
    4. ​
    5. File (or plan to file) a proof of claim in the bankruptcy
    6. When the court sets a claims bar date, you will need to file a proof of claim listing: how much you invested, what you received back (if anything), and supporting documents. This is what preserves your right to any money recovered from the RAD estate.
    7. If RAD’s bankruptcy evolves into an orderly liquidation, any payout will likely be long‑delayed and potentially only a partial recovery, but missing the claim deadline could mean getting nothing.
    8. Consider joining an investor group or contingency‑fee counsel
    9. Since you invested directly, a key question to ask any securities/investor‑fraud firm is whether they are organizing a group of direct investors (no broker) to appear as a block in the bankruptcy, or a separate civil case against insiders, promoters, or affiliated entities (e.g., related training/education companies). If a formal class action is eventually filed for the 2019–2022 Reg A investors, your 2021 investment would likely fall squarely within the “class period,” and you could stay in that class by doing nothing, or opt out to pursue your own case. (General class‑action practice, not RAD‑specific.)
    10. Tax and personal planning
    11. Talk with your CPA about documenting this as a potential capital loss or worthless security; timing will depend on how the bankruptcy proceeds and if/when the investment is deemed effectively worthless. (General tax practice.)
    12. For your own planning, treat this as a high‑risk recovery: emotionally assume a large loss now, while still aggressively preserving your rights so you can benefit from any distribution or later settlement.
    0Reply
    • Jay HinrichsBusiness Member
      Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
      7mo
      Quote from @Christopher Cu:

      I asked Perplexity AI how I should proceed with my RAD Divesified claim considering my investment was made directly to RAD and not through a broker dealer. This was the response -                                                  

      Because you invested directly with RAD Diversified around 2021 (through their online Reg A/Reg D offerings rather than an outside advisor), your main recovery paths are: (1) filing and maximizing your claim in the bankruptcy, and (2) possibly joining any group or class‑style investor case if and when it is organized.

      What your 2021 direct investment likely was

      • In 2021, RAD was actively selling common shares under its SEC‑qualified Regulation A offering via its own online portal, raising more than $25 million and selling over 1.7 million shares.​
      • Many investors like you wired or ACH'd funds directly to RAD without going through a broker‑dealer or investment adviser, so their only contractual relationship is with RAD (and any related subscription or note/JV documents RAD issued).

      How that affects your legal options

      • Because you did not use an outside advisor, you probably do not have a separate claim against a brokerage firm under FINRA rules (which some other investors do), so your primary defendant is RAD and its insiders.
      • As RAD is now in Chapter 11 and apparently moving toward liquidation after Ponzi‑type allegations and cash‑flow collapse, your direct claim against the company must be asserted in the bankruptcy (through a proof of claim) to keep you in line for any distributions.

      What you should do next (practical steps)

      1. Identify precisely what you bought
      2. Pull your 2021 subscription confirmations, offering circular / PPM, and any follow‑on statements or emails. These should show: security type (Reg A common shares vs any “secured” notes or JVs), number of shares/units, and dollars invested.
      3. Note any “stock buyback,” “liquidity every 6 months,” or minimum distribution promises, since those may be part of your misrepresentation story if you later join a lawsuit or group claim.
      4. ​
      5. File (or plan to file) a proof of claim in the bankruptcy
      6. When the court sets a claims bar date, you will need to file a proof of claim listing: how much you invested, what you received back (if anything), and supporting documents. This is what preserves your right to any money recovered from the RAD estate.
      7. If RAD’s bankruptcy evolves into an orderly liquidation, any payout will likely be long‑delayed and potentially only a partial recovery, but missing the claim deadline could mean getting nothing.
      8. Consider joining an investor group or contingency‑fee counsel
      9. Since you invested directly, a key question to ask any securities/investor‑fraud firm is whether they are organizing a group of direct investors (no broker) to appear as a block in the bankruptcy, or a separate civil case against insiders, promoters, or affiliated entities (e.g., related training/education companies). If a formal class action is eventually filed for the 2019–2022 Reg A investors, your 2021 investment would likely fall squarely within the “class period,” and you could stay in that class by doing nothing, or opt out to pursue your own case. (General class‑action practice, not RAD‑specific.)
      10. Tax and personal planning
      11. Talk with your CPA about documenting this as a potential capital loss or worthless security; timing will depend on how the bankruptcy proceeds and if/when the investment is deemed effectively worthless. (General tax practice.)
      12. For your own planning, treat this as a high‑risk recovery: emotionally assume a large loss now, while still aggressively preserving your rights so you can benefit from any distribution or later settlement.

      get your claim in and hope for the best.. 
      Podcast Guest on Show #222
      JLH Capital Partners51 Review
      WebsiteView Page
      0Reply
  • Barbara RadkePro Member
    Westlake Village, CA · Member since 2021 · 16 posts · 15 votes
    7mo

    Have you see this? https://bondoro.com/rad-diversified-reit/

    1Reply
  • Alan David
    Member since 2024 · 95 posts · 35 votes
    5mo

    I received  the bankruptcy notice today, chapter 11 filed in middle district of florida.

    attorney Pack Law 305-916-4500   issued 3/3/26

    guess we are mostly screwed,No surprise.Anyone see a positive here?

    0Reply
    • Jay HinrichsBusiness Member
      Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
      5mo
      Quote from @Alan David:

      I received  the bankruptcy notice today, chapter 11 filed in middle district of florida.

      attorney Pack Law 305-916-4500   issued 3/3/26

      guess we are mostly screwed,No surprise.Anyone see a positive here?


      The only positive I could see in this is you will be able to write off the investment against your passive income if you have any and those that are RE professionals can write the entire event off against ordinary income  ( pretty sure )
      Podcast Guest on Show #222
      JLH Capital Partners51 Review
      WebsiteView Page
      0Reply
  • Tom Nagy
    Member since 2025 · 48 posts · 38 votes
    5mo

    Yes.  Since this is a blatant scam, I don't believe chapter 11 will be allowed and they will go to jail.  We most likely will see no money, but they will be behind bars

    0Reply
  • Joseph M.
    Member since 2025 · 50 posts · 33 votes
    5mo

    I am just sitting back eating popcorn waiting for RAD/Dutch/Amy/Gretchen to sue the SEC for a Billion dollars

    0Reply
    • Chris SeveneyBusiness Member
      Moderator
      Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
      5mo
      Quote from @Joseph M.:

      I am just sitting back eating popcorn waiting for RAD/Dutch/Amy/Gretchen to sue the SEC for a Billion dollars

      Are they blaming the SEC on why the fund went bankrupt? By hmm - I would be interested in reading that lawsuit.
      7e investments53 Reviews
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  • Joseph M.
    Member since 2025 · 50 posts · 33 votes
    5mo

    RAD blames everyone except themselves. They’ve blamed investors, “accounting dept”, health issues/cancer/deaths. 

    Obviously the lawsuit isn’t real, just a threat and tactic to make investors think and agree with RAD. 

    Either way, good news is bankruptcy court appointed and approved an examiner (Maria Yip) to dig into the finances and see where the money and investor funds flowed. 

    1Reply
  • Alan David
    Member since 2024 · 95 posts · 35 votes
    5mo

    id enjoy seeing them jailed......popcorn please

    0Reply
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