Rodney Grubbs Pickleball Bankruptcy Scandal: Ron Ponder and other investors fear that a bankruptcy waiver has allowed Rodney Grubbs, the former CEO of Pickleball Rocks, to avoid criminal charges. Grubbs promised high returns on short-term loans but failed to repay many investors, leaving them waiting for justice and repayment for over 18 months.
Promises and Broken Deals
Rodney Grubbs, who lives in Brookville, Indiana, told investors he needed money to grow All About Pickleball LLC, known as Pickleball Rocks. He offered deals like 12% monthly interest and repayment plus 18% if he defaulted.
Ron Ponder met Grubbs in 2017 in Spain and later invested $65,000. When the first loan came due, Grubbs did not pay him. Many other investors had the same problem.
“It’s just not right,” said Ron Ponder. “It’s not right that he gets to walk free.”
A Slow Investigation
In December, federal agents and Brookville police raided Grubbs’ home. The FBI took documents, a phone, and a laptop. They asked victims to share their stories.
“It’s moved incredibly slow,” Ron Ponder said. “You know he’s old. He could very very easily die before anything is adjudicated.” While Ponder can handle the loss, he worries about others who invested everything they had. “They’re like, ‘Oh well, yeah, he got us. Gosh, that really sucks,’ and then they’re going on with their lives,” he said.
Bankruptcy Waiver and Debts
In June, the U.S. Department of Justice announced Grubbs agreed to waive his right to clear $47 million in debt through bankruptcy. This means he still must repay the money, though this did not admit guilt. His property and business items were sold, raising about $1.2 million. Creditors can still try to collect through other legal actions.
Fears of No Accountability
Teri Siewert from Florida, who pushed for the bankruptcy case, is looking for more ways to hold Grubbs accountable. She is asking Case Western Reserve Law School to help victims get free legal aid.
“How is that even remotely in the public’s interest? The victims are left with no faith in the justice system,” Teri Siewert said via text. “Seems all that matters is money. Since there’s no money to be had — justice is denied the victim. No restitution is possible since no criminal charges were adjudicated. Travesty.”
Family Claims Disputed
Grubbs’ sons, Zack Grubbs and Josh Grubbs, and their wives, Amy Grubbs and Abby Grubbs, tried to claim over $1.2 million they said they were owed. Trustee Joanne Friedmeyer objected, saying they were paid for their work.
“Based on records obtained from FCN Bank via subpoena,” Joanne Friedmeyer wrote, “it appears that the transfers were made in the ordinary course of business … and in exchange for reasonably equivalent value in the form of the labor of claimants.”
The family settled without admitting or denying any fault and agreed not to file more claims.
News in Brief: Rodney Grubbs Pickleball Bankruptcy Scandal
Investors are still waiting for justice after Rodney Grubbs failed to repay millions in loans tied to his pickleball business. Though he waived his bankruptcy rights, no criminal charges have been filed. Victims and lawyers are looking for other ways to hold him accountable.
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