• NEWS
  • REVIEWS
  • INTERVIEWS
  • EVENTS
  • VIDEOS

Subscribe to Updates

Get the latest creative news from Blues Scene about music & art.

New Orleans Suspects and Sol Roots Perform at The Hamilton Live

February 1, 2023

Ten Years After Set To Change The World With 50th Anniversary ‘A Space In Time’ Remix

February 1, 2023

Delmark Records Celebrates 70 Years with a Weekend Streaming 

February 1, 2023

Talking Heads’ Jerry Harrison, Adrian Belew Announce Additional 2023 ‘Remain In Light’ Tour Dates

January 31, 2023
Facebook Twitter Instagram
Facebook Twitter Instagram Vimeo
American Blues SceneAmerican Blues Scene
  • NEWS
  • REVIEWS
  • INTERVIEWS
  • EVENTS
  • VIDEOS
American Blues SceneAmerican Blues Scene
Home»News»Head of Blues Record Label Indicted on Fraud Charges
News

Head of Blues Record Label Indicted on Fraud Charges

Matt MarshallBy Matt MarshallFebruary 21, 2014Updated:April 10, 2020No Comments2 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email VKontakte WhatsApp
Share
Facebook Twitter LinkedIn Pinterest Email
Randy Chortkoff
Randy Chortkoff

(LOS ANGELES, CA) – The Justice Department announced the indictment of six people in connection with widespread scams that prosecutors claim defrauded dozens of individual investors of over $5 million. One of those indicted is Delta Groove Music owner Rand Chortkoff.

Selling investment opportunities in movies, Chortkoff and associates promised huge returns for early shareholders in films set to star Joaquin Phoenix, Ray Liotta, and John Cusack — but according to charges filed by the FBI, the movies didn’t exist. “Straight up fraud,” FBI Special Agent Timothy Delaney said in an interview with CBS This Morning.

“He was the one in charge of finding the investors and getting their money,” Delaney continued. “The people thought they were investing in the making of a movie. In reality they were funding the criminals’ lifestyle.”

A request to Chortkoff for comment was unanswered.

According to a recent Securities and Exchange Commission filing, in 2008, Chortkoff was the subject of a cease-and-desist order issued by the California Department of Corporations for his role in the unregistered offer and sale of securities, or ownership shares, of Big Sky Motion Pictures, LLC and Spring Break ’83 Production, LLC. Chortkoff owned both.

The filing continues, “In offering and selling these securities to investors, Defendants Braslau and Chortkoff, acting with scienter [a legal term that refers to intent or knowledge of wrongdoing], engaged in a scheme to defraud and did defraud their investors.”

“I would like to thank the friends who know me and know that I am and have been an honest guy with integrity for their kind words of support,” Chortkoff retorted on Facebook. “The labels will continue to function normally and the music will continue to be of the highest quality and released as scheduled.”

“I’m shocked and feel terrible for the investors that were mislead,” says the manager for a blues artist formerly on the Delta Groove label, who asked to remain anonymous. “I’m concerned about the artists that are currently on the label, and I’m afraid that those artists who were on the roster will find it a challenging uphill battle claiming their mechanicals and royalties — something many of them need to survive.”

The FBI says that if convicted, those indicted, including Chortkoff, face up to twenty years in prison.

CBS This Morning Delta Groove Music Randy Chortkoff
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email WhatsApp
Previous ArticleRobert Johnson's son wins custody of photos, profits
Next Article Lisa Lim – Featured interview from Reverbnation
Matt Marshall
  • Website

Matt Marshall is the publisher of American Blues Scene Magazine and owns Bluescentric.com the shop for Blues, Soul, and Rock n Roll -- authentic music t-shirts where every sale pays artist's estates directly.

Related Posts

New Orleans Suspects and Sol Roots Perform at The Hamilton Live

February 1, 2023

Talking Heads’ Jerry Harrison, Adrian Belew Announce Additional 2023 ‘Remain In Light’ Tour Dates

January 31, 2023

IBC 2023 Winners Announced

January 29, 2023

Listen: Colemine Records to Posthumously Release Fred Davis LP, ‘Cleveland Blues’

January 26, 2023

Leave A Reply Cancel Reply

Advertisment
Facebook Twitter Instagram Pinterest
  • Home
  • News
  • Reviews
  • Interviews
  • Events
  • Videos
  • About

Type above and press Enter to search. Press Esc to cancel.