⏱ 2 min read
Heath Posey, 39, a former Denver man, was involved in a complex investment fraud scheme that duped investors out of millions. As the Chief Financial Officer of the ROI Cash Flow Fund, Posey helped orchestrate a multi-million dollar scam from December 2022 to May 2024. The fund, founded by Timothy McPhee in June 2022, promised investors a 3% monthly return on their principal investment, claiming to generate profits through foreign exchange currency trading.
However, unbeknownst to investors, the fund stopped sending money to the borrower in February 2023 due to lack of returns. Instead, Posey and McPhee used investor funds to make monthly payouts to certain investors, while continuing to solicit new investments. Posey knew the fund was not operating as advertised but continued to help McPhee conceal the scheme until May 2024.
Posey’s role in the scheme has now landed him a 42-month prison sentence, as well as orders to pay over $6.2 million in restitution to victims and the IRS, a $10,000 fine, and three years of supervised release. This comes after McPhee was sentenced to 151 months in prison and ordered to pay over $59 million in restitution in December 2025.
The case highlights the importance of due diligence and caution when investing in opportunities that seem too good to be true. The ROI Cash Flow Fund’s promise of high returns with minimal risk was a red flag, and investors should always research and verify the legitimacy of investment opportunities before handing over their money.
📋 Key Facts
- Crime: Fraud & Financial Crimes
- Defendant: Colorado
- Location: CO
- Source: DOJ Press Release
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