A Fruitport man active in the Tri-Cities community faces federal indictment next week for his alleged involvement in a $2.1 million multi-state investment scheme.
Christopher Ostrowski along with his former boss — Dennis Tubbergen, who is the former CEO of GTBK Marketing out of Grand Rapids — are facing several charges relating to an investment scheme designed to match donors with charities. Both men are 53.
The Grand Jury Indictment, originally scheduled for Monday, was rescheduled to Aug. 23 in U.S. District Court in Harrisburg, Pa.
Court papers list a 10-count case that includes six counts of aiding and abetting fraud by wire, radio or television; and individual counts of attempt and conspiracy to commit mail fraud, influencing a juror or witness, and false declarations before a Grand Jury.
GTBK, which operated from May 1, 2001, until at least Feb. 19, 2013, offered a product called the Immediate Legacy Program, which was designed to help non-profit organizations raise donations, according to the indictment.
Ostrowski served as a traveling salesman, who made presentations to financial planners and insurance agents across the country in an attempt to get them to become GTBK agents. Those interested would pay to travel to Grand Rapids for a multi-day presentation made by Tubbergen, court papers state.
Another part of the alleged conspiracy was that the two men promoted the program as being used by former NFL player and coach Mike Ditka; the Grid Iron Greats; the Children’s Memorial Hospital of Chicago; Yale, Harvard and Johns Hopkins universities; various college football programs; the Diocese of Grand Rapids; and other well-known non-profit entities, churches and organizations, court papers state. While some of the entities named had listened to a sales presentation, they had rejected the proposal to use the program.
Court papers noted those who attended the presentations in Grand Rapids were pressured to sign up before someone else took the position for their area. Those who signed up paid between $35,000 and $50,000 for the license to sell the product and were given a money-back guarantee. They were also told they would get training, marketing and exclusive relationships with charities and other non-profit entities, which the investors were told were already established and waiting to be contacted.
Those who purchased the program did receive some training and marketing materials, according to the indictment, but nobody received any exclusive relationship with any charity interested in using the program.
Another part of the alleged conspiracy was when purchasers complained about the false representations of the program and tried to get their money back, they found it very difficult. Their credit cards also continued to be charged, even after they complained and left the program.
The complaint says that upon conviction, the defendants would have to forfeit nearly $2.2 million, or substitute property if the funds were not available.
Ostrowski joined North Ottawa Community Hospital in late 2013 as the director of fund development. Hospital spokesperson Jennifer VanSkiver said Ostrowski left NOCH on March 23 of this year.
“It is our corporate policy not to discuss the terms of an employee leaving the organization,” VanSkiver said.
She did say Ostrowski’s position at the hospital no longer exists.
Ostrowski’s Facebook page notes that he is currently employed by Garrison Dental Solutions of Spring Lake.
A Linkedin profile shows Ostrowski as owner/president/CEO of a company called Beyond the Ask. The company strives “to make the world a better place by providing charities with a unique skill set that can enhance their fundraising efforts,” according to his Linkedin profile.
A parishioner of St. Mary’s Catholic Church in Spring Lake, Ostrowski was part of the church’s planning committee for the fundraising campaign for the new school, Father Dave Gross confirmed.
Attempts to reach Ostrowski or his lawyer by press time were not successful.
Tubbergen released the following statement through a public relations company:
“I recently learned that legal action has been taken regarding 14 former financial advisors, who purchased educational and support materials from GTBK Marketing, with allegations regarding the program they purchased for implementation with their independent businesses. GTBK Marketing, a business of which I was a partner from 2000 until it closed in 2011, provided support to nearly 23,000 financial professionals nationwide. GTBK Marketing has no relationship to any of my current work at PLP Advisors LLC or PLP’s clients. The allegations being made are without merit and I continue to fully cooperate with officials.”
(2016 © Grand Haven Tribune)
