Complaint Review: 1847holdingsLLC/Ellery Roberts

CEO Ellery Roberts is a serial fraudster

The"corporate headquarters" is a $150 per month virtual office on 590 Madison Ave, however, he presents this fancy address to shareholders as having an office in one of the richest neighborhoods in Manhattan. They pay an answering service to pick up the phone, pretending to be an in person secretary.  If you call and ask to speak to Ellery Roberts, she will pretend to find him then state he just stepped away and request for a call back number. 

The business was only brought into public markets to scheme shareholders by use of deceptive press releases and false financial statements.  Every subsidiary in the possession of 1847holdings is used to steal money through management fees and loans. They work with dubious investment banks to orchestrate pump and dumps with the stock as well as pay stock promoters to assist with pushing a false narrative of legitimacy. 

1847 Holdings is a holding company that acquires small businesses, primarily mom-and-pop shops, and deploys resources to support and grow them. In turn, 1847 Holdings can either sell the business for a profit, spin it off into its own public entity, or hold onto it in perpetuity. The issue is that these outcomes are not feasible because the company is, in fact, a scam.  The company uses false financial statements and deceptive press releases to create the false appearance of something legitimate. A component of the fraud is to set up an LLC in Delaware and a corporate headquarters in NYC and use subsidiaries for loans to pay the parent company. In a metaphorical twist, the child company (the subsidiaries) is loaning money to the parent company (1847 Holdings). The loans are not income and, therefore, not tax-deductible. As soon as 1847 Holdings acquires a new business, they immediately leverage the company’s assets to take out loans. Instead of using the money from the loans to enhance the business, leaders use the loans to lead lavish lifestyles and enrich themselves. The CEO has a 7 million dollar home is Rancha Santa California. 

The loans are taken out in the form of a promissory note with a convertible clause. For perception purposes, 1847 Holdings will pay the loans for a few months and then default on the loans-afterward. As soon as the loans default, the lender can convert the debt to common shares, eviscerating shareholder equity.

Ellery Roberts is in bed with the lenders and all of the convertible notes have a pre planned default.  Check Mast Hill, Lane Murphy  - this is the go to lender. If you check the loan defaults that took place of August 4th 2023 - both Mast Hill and Leonite defaulted 1847holdings the same day with the exact same language.  Quite literally, Ellery’s lawyers drafted their own default notice.