DALLAS — A Dallas man pleaded guilty Tuesday to defrauding investors out of more than $27 million in oil and gas and water rights scams, federal officials say. The money ended up being used on luxe items like real estate, a private jet service, and more, according to officials.
Dennis James Rogers II, 35, originally from Las Cruces, New Mexico, solicited $10 million from an investor in 2019, purportedly so his company Oregon Mountain Trading Company could buy fuel, according to plea papers. The investor paid Rogers the money after the pair agreed he’d receive a 50% return on investment, but instead of buying fuel, Rogers used the money for a private jet service, a custom home builder, a law firm, an investment account, business entities, credit cards, and other personal expenses.
Less than a year later, Rogers sought $4.1 million and $2.1 million from two investors, telling them an international fuel company was exiting its stock position in Brownsville, Texas, and planned to get rid of its fuel in an exclusive, invitation-only auction, officials say.
The company never held an auction, and the money was used to fund an unrelated investment account, buy real estate and pay personal expenses, officials say.
Rogers also gathered $11 million in investments for a purported water rights deal associated with a dairy farm in New Mexico, according to a press release.
He called an investor and a purported member of the dairy farmer family and told an investor he had $5 million in an account that could be used as collateral, but in reality, Rogers had no relationship with the dairy farmer, the account had no collateral value and there was never a contract for water rights, officials say.
Rogers faces up to 10 years in federal prison, with a sentencing hearing set for Dec. 18, 2024, according to federal officials.
