Real Estate Fraudster Used Investor Cash for Personal Expenses!

SEC v. Robynne Alexander — U.S. Securities and Exchange Commission Litigation Release No. 26336, dated June 26, 2025.

The SEC charged Robynne Alexander with defrauding investors out of at least $3 million through real estate investment schemes. She allegedly used investor money to pay fake returns to favored investors, repay unrelated projects, and cover personal expenses, instead of investing in the promised properties.

In Plain English

Imagine you give money to someone to fix up and sell houses, expecting to share in the profits. This person, Robynne Alexander, took money from many people for her house projects. Instead of using the money for the houses, she used it to pay off other people who had given her money, pretending it was their profit, and also used it for her own shopping and bills. This meant the people who gave her money for the houses lost a lot of their investment.

Disclaimer: all facts are drawn from the SEC's own filings; the claims described are allegations unless and until a court rules or the parties settle, and some cases end in dismissal.

How the Alleged Scheme Worked

1. Soliciting Investments for Real Estate Between 2018 and 2024, Robynne Alexander convinced at least 28 investors to give her over $4 million. She promised to use this money to buy, renovate, and sell eight different properties in New Hampshire and Massachusetts for a profit.
2. Misrepresenting Project Status Alexander falsely told investors she would provide regular updates on the projects. She also claimed she maintained accurate books and records for the investments, but in reality, she rarely provided updates, and only after repeated requests.
3. Fabricating Investment Returns Instead of profits from selling properties, Alexander paid some investors purported returns using money from other investors. She also used funds to repay investors and lenders involved in unrelated projects.
4. Diverting Funds for Personal Use A substantial amount of the investor money was used by Alexander as her primary means of paying her personal expenses, rather than for the intended real estate investments.
5. Concealing Property Dispositions Alexander failed to notify investors when she disposed of a property or when a property faced foreclosure, hiding critical information about the status of their investments.
6. Misappropriating Funds The core of the fraud involved Alexander misappropriating investor funds. She used money from new investors to pay off earlier investors, and also to cover her own living costs, leading to significant losses for many.

The Enforcement Action

On June 26, 2025, the SEC charged Robynne Alexander with fraud in real estate investment schemes. Alexander consented to an order permanently enjoining her from violating securities laws, barring her from participating in the issuance, purchase, offer, or sale of securities (except for her own account), and permanently barring her from serving as an officer or director of any public company. The court will order disgorgement plus prejudgment interest and a civil monetary penalty. The U.S. Attorney’s Office for the District of New Hampshire filed parallel criminal charges, and the New Hampshire Bureau of Securities Regulation filed administrative charges.

Named in this action: Robynne Alexander.

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