Profitable Sunrise was launched on the Internet on November 11, 2011. The original website had the backdrop of the statue Christ The Redeemer in Rio de Janeiro, Brazil. Super-imposed over this picture was the text of the Home Page providing an overview of Profitable Sunrise, as well as Bible passages. The main target of Profitable Sunrise was the Christian Community as evidenced by his quoting Scripture on the website, and for the group leaders who professed their Christianity to their members.

To understand what Profitable Sunrise said versus what is reality, I first want to provide you with the exact wording from their website.

This is the text from the Profitable Sunrise Home Page:

Risk-free An investment with a certain rate of return and no chance of default. Although various investments (for example, savings accounts or blue chip stocks) meet these requirements, a Treasury bill is the most common example of a riskless investment. Risk-free investments have such a low level of risk that it may be ignored.

Simple All our loan operations are insured and each one has a security which is equal to the amount of loan plus the interest on the loan. We use the funds invested by our members. So all your investments are insured by default.
Good Day, my name is Roman Novak, I am the owner and founder of Profitable Sunrise. I hope our services will be of interest to you. Since you are reading this, I assume that you have already shown interest. We are a team of professionals that will lead you to prosperity and peace. If you follow us, you will shortly praise the Lord that he led you here.

By putting your money to work with us, you will make the right decision. You will not only increase your savings, but will also help those in need.

Allow me to introduce my team to you. My brother Radoslav Novak is a lawyer and apart from the legal issues is responsible for the marketing. Ruth Ellington is our accountant. Nosuke Koyama is the technical expert responsible for the smooth operation of our website. Everyone is welcome to join us. Our doors are and will always remain open to you.

Our investment model is based on short-term investments and generates income way greater than most regular investment models do. Our business model combines tried and tested investments with certain state-of-the-art innovations that bring the risk of loss to a minimum.

We have been doing this for over 6 years now and successfully lived through the stock market turmoil several years ago. Moreover, we have grown big and confident enough to start safely offering our services to private investors and companies.

We provide short-term loans to numerous companies throughout the United States. This way we not only help those companies, but also help revitalize the national economy and create more jobs that are so desperately needed.
Unfortunately, we cannot help every company as we have to make sure that we do not put our investors’ money at excessive risk. In addition to that, our investments are insured by a leading investment bank.

We allocate a significant amount of our earnings to charity as there are so many people out there that need help.

Do you need cash to finance your business or re-finance your current loans? More information about the loans can be found here.

The following Scripture was quoted on the Home Page:

About: A good name is better than precious ointment, and the day of death than the day of one’s birth. Ecclesiastes 7:1

Invest with us: I have shown you all things, how that by so laboring ye ought to support the weak and to remember the words of the Lord Jesus, how He said, ‘It is more blessed to give than to receive.’ Acts 20:35

The FAQ page contained all the information about the different investment programs: rate of return, length of program, and minimum and maximum amounts that could be invested. Just like the Home Page, the FAQ page had Scripture verses.

Here is the FAQ from the website:

Good Day, my name is Roman Novak, I am the owner and founder of Profitable Sunrise. I hope our services will be of interest to you. Since you are reading this, I assume that you have already shown interest. We are a team of professionals that will lead you to prosperity and peace. If you follow us, you will shortly praise the Lord that he led you here.

By putting your money to work with us, you will make the right decision. You will not only increase your savings, but will also help those in need.

Our Plans:
1. Starter Plan. The minimum investment is $10.00. Interest rate is 1.6% per business day. Investment term is 180 business days. Compounding is available. Principal amount is returned upon maturity.
2. Regular Plan. The minimum investment is $500.00. Interest rate is 1.8% per business day. Investment term is 180 business days. Compounding is available. Principal amount is returned upon maturity.
3. Advanced Plan. The minimum investment is $2,500.00. Interest rate is 2% per business day. Investment term is 180 business days. Compounding is available. Principal amount is returned upon maturity.
4. Private Plan. This plan is available to groups only. All the details are discussed individually. This private plan pays 2.17% per day. Compounding available.
5. Long Haul Program: Long Haul is one of the investment plans available at Profitable Sunrise.
– 240 days from the date of the first deposit is the duration of the Long Haul investment plan.
– In the Long Haul the compounding is set at 100% and cannot be disabled during the whole investment term.
– The interest rate paid under the Long Haul is 2.7% per business day.
– The Long Haul can only be started from November 1, 2012 till March 1, 2013.
– The minimum deposit in the Long Haul is $500.00
– The deposit options available in the Long Haul are bank wires and deposits from existing account principals in other plans – for group members, bank wire transfers only – for regular members.
– E-currency deposits are not accepted in the Long Haul.
– The Easter Gift Balance will be paid to all customers during the Easter week.
After the Easter, the daily interest rate will be reduced to 2.35% in the Long Haul.
– The compounding can be disabled or limited in any account at our sole discretion.
– After March 1, 2013, you will not be able to make any additional deposits into the Long Haul.

I am not going to include the loan application that Roman used for his bridge loan/hard money lending because the focus was on the investments of Profitable Sunrise. And also because the loan application did not have an address or fax number for where to send the loan application even if someone was remotely interested in asking for a bridge/hard money loan; BUT it was not a business loan application. Business loan applications do not ask you your marital status, number of children, nationality, copy of your utility bills with your name on them, and several other requests that have nothing to do with a business loan. It was there for appearances only to convince you they were doing bridge loans/hard money lending.

To do his bridge loans/hard money lending, Roman said that the parent company that provided all the working capital was Inter Reef, Ltd, and it was registered with Companies House in the UK, and its office was located at:

590A Kingsbury Road Erdington, Birmingham

West Midlands, UK B24 9ND

He claimed that he had been doing these bridge loans/hard money lending for six years prior to doing these loans in the US. He then claimed that he had been doing these bridge loans/hard money lending for three years in the US before making this investment opportunity available to the public on November 11, 2011.

Now that you have seen what he claimed for his investments, how long he claimed that he had been doing business before entering the US market, and then in the US market before launching his investments to the public; now I will demonstrate how all of this was all smoke and mirrors and a lie. Not only Inter Reef, Ltd, but also his returns he was claiming for his investments and their returns.

First, let’s discuss Inter Reef, Ltd, because if everything claimed about Inter Reef, Ltd was a lie, then everything else is a lie too.

While it is true that he registered Inter Reef, Ltd with Companies House, his registration was filed on September 13, 2011. Here is a copy of the Companies House Registration Page:

Date of Incorporation: 13/09/2011
Country of Origin: United Kingdom
Company Type: Private Limited Company
Nature of Business (SIC): 99999 – Dormant Company
Accounting Reference Date: 30/09
Last Accounts Made Up To: 30/09/2012 (DORMANT)
Next Accounts Due: 30/06/2014
Last Return Made Up To: 13/09/2012
Next Return Due: 11/10/2013

Remember, the claim was he had been doing bridge loan funding/hard money lending for six years before offering his investments to the public. He actually registered the company two days after he started his public promotion of his investment program called Profitable Sunrise on November 11, 2011.
Notice that the registration was DORMANT from September of 2011, through the end of September 2012. Hard to be an “active” bridge loan funder/hard money lender using a parent company that is funding all your business loans when your parent company is a dormant company.

As for the company address of Inter Reef, Ltd, it was a mailbox drop facility. There was no office at that location. I will also note that the fax number that was provided for Inter Reef, Ltd in the UK was not a phone number for the UK. The office number provided did not even have voice mail, and was never answered by anyone connected to Inter Reef, Ltd.

So, now we have all the information about Inter Reef, Ltd proven to be false, now let’s turn our attention to Profitable Sunrise and the investment plans Roman Novak was providing.

To offer any investments in the US and in the UK, the company offering the investments must be licensed and registered with the SEC in the US and with the FSA in the UK. Profitable Sunrise or Inter Reef, Ltd were not registered to offer securities in either country. Roman Novak must also be registered to sell securities/his investments with FINRA here in the US. He was not licensed and registered to do so.

Not only must the investments and Roman be licensed and registered with the SEC, he must also license and register with each state in the US. No registration was made. He also must register his company to do business (bridge loans/hard money lending) in every state in which he does business. No registration was ever made in any state in the US.

Adding to the list of problems with Profitable Sunrise, the US Telephone numbers for Profitable Sunrise: Fax: 407-264-6951 & Phone: 407-264-6068 are unlisted landlines registered to Telecove Investment, LLC, in Orlando, FL Telecove Investment, LLC is not registered to do business in Florida, or registered and licensed to offer securities with the SEC, or with the state of Florida. So why was Profitable Sunrise using US phone numbers that were not issued to Profitable Sunrise? As you can now see, all the evidence of anything regarding Profitable Sunrise/Inter Reef, Ltd, being legal is all lies, and there was nothing legal about Profitable Sunrise or Inter Reef, Ltd.

Roman was promising a daily return from 1.6% to 2.1% on his investment plans, and for the long haul 2.7%. Not simple interest, but compounded interest per day. To put it bluntly, this has never been done in the history of investing, and Roman Novak was not going to be the first one to do it. As an aside, this reminded me of the program called PIPS, where Bryan Marsden out of Malaysia was promising 2% per day compounded for his investment. This means his annual rate of return was more than 14,400+% on a $20 investment. Using Roman’s figures, he was promising almost the same returns, more if his returns were based on an annual percentage. For this illustration, I am only going to use 1 person investing $500 into this long haul program. Think of what the total amount Roman would have to pay if it were 100,000 members. So let’s run the numbers for the long haul program using Roman’s promised rate of return:

Initial investment: $500; Investment Starting Date: 11/1/12; Investment Ending date:6/29/12

If this investment was left for the full 240 days compounded the amount of interest accumulated at the end of the 240 days would be: $298,645.00. This is an accumulated percentage return of 59,729%. Add in your $500 deposit and the total amount returned to you would be: $299,145.00.

Now I realize that the 2.7% was only from 11/1/12 through 3/31/13, and then it was supposed to reduce to 2.35% going forward. I am merely illustrating how ridiculous the interest rates he claimed he could pay to the members. Now if you really want to see just how big this payout would have been, let’s say 100,000 members only invested $500 into the long haul program. The total payout would have paid off the entire US national debt for 2012. This is why there is no way this program could have been anything other than a Ponzi.

But who is/was Roman Novak and what is his business? Well, that depended on which story he told that you wanted to believe.

Here are the different stories (I am only going to provide the information that pertains to Roman’s background and how long Inter Reef, Ltd has been in business) he has told to people who interviewed him:

FROM NEAL MORRIS EMPOWER NETWORK BLOG (11/26/12):
Roman has over 20 years of experience in funds management. Roman has been in the niche business of short term bridge loans for 10 years. Over the past three years in the industry, he has experienced a huge demand growth and saw a need to pursue outside partners to meet the demand for capital to assist current clients and referrals of those clients.

Profitable Sunrise is actually the marketing name for the company, Inter Reef LTD Financial Consulting & Management, which address is

Corner Chambers
590a Kingsbury Roadoad
Birmingham, West Midlands, United Kingdom, B24 9ND

MARKET-TUBE.COM (12/27/12):
Profitable Sunrise has positioned itself as a leader in the business sector it operates in. Their hard money lending model has been operational since 2007-2008 and is growing stronger every month. So if people are saying that they cant find a trading history in the UK for them… thats ok because they arent trading within the United Kingdom, they are mostly trading in the US and China and comply with all the UK and international regulatory requirements.
Roman came into this business from the high end mortgage industry.

PROFITABLE SUNRISE BLOGSPOT (1/13/13):

Profitable Sunrise is a real company whose registrar’s office is located in Birmingham, England and who provides short term loans to businesses, primarily in the United States.

The admin of Profitable Sunrise (Roman Novak) has been in this business for 10 years, but over the past two years, the demand has been so great such that they have pursued outside partners to meet the demand for capital to help current clients and referrals of those clients which is where investors in Profitable Sunrise come in.

NETBIZNICK (11/10/12):
In short Profitable Sunrise started in Nov 2011 is the Charitable platform of a very successful Collateral Lenders group called Inter Reef Ltd that handles up to $400 million dollars in bridge loans. Inter Reef Ltd is now a licensed and registered Corporation based in the UK.

Make no mistake, Profitable Sunrise “is not a business” it wasn’t intended to be and never will be so if you go off looking for it registered at companies house in the UK you will be wasting your time. We are simply 20 private charitable groups of entrepreneurs supporting collateral lenders and being paid very well for it.

Profitable Sunrise founder Roman Novak started out 10 years ago with a check cashing business in the USA.

INHEZY.NET (1/8/13):
The owner of Profitable Sunrise is called Roman Novak and Profitable Sunrise has been providing financial services for well over 6 years now. Profitable Sunrise reviews is a real company based in London that provides short-term loans to numerous companies primarily throughout the USA.

OK, so now which story is true? I guess you get to choose which story you want to believe. In case you missed them, here are the discrepancies:

Roman has 20 years of experience as a fund manager, and 10 years in the bridge loan industry. Roman started out 10 years ago in the check cashing business. Roman came from the high-end mortgage industry. So which is it?

Notice also that Inter Reef went from being a real business to it not being a business, it was not intended to be and never will be, then back to being a real business again. So which is it?

There is a lot more evidence and information that I could use to prove that Profitable Sunrise is and was a Ponzi from its inception. But if what I have presented has not convinced you, neither will any of the other information and evidence I have not used.

When the first of the cease and desist orders was issued by the state of North Carolina, Roman assured everyone he knew it was coming and everything was under control. The members took comfort in that the cease and desist order was a temporary order, and gave Roman 30 days to respond. But then a rash of states started issuing their alerts, warnings and other states issued cease and desist orders that were not temporary but immediate. This was soon followed by 6 Provinces of Canada, the FSA from the UK and the New Zealand authorities to issue alerts against Profitable Sunrise. This all happened within 3-4 days. At the height of these alerts and cease and desist orders the website was taken offline with no warning to the members. The reason for the website being taken down was the servers were being moved to China. Of course he claimed he was just changing servers and moving them to China. That was just an excuse. Roman was going to run with the money all along, but the actions taken by the over 30 US states, 6 Provinces of Canada, by the FSA and the New Zealand authorities just sped up his exit date for when he was going to run with the money. Had they not issued their alerts, warnings, and cease and desist orders, Roman would have still run with the money by the week of March 25. There was no way he would have been able to make the Easter payment from the long haul program.

Let me be perfectly clear. There is only one person who took down Profitable Sunrise. It was none other than Roman Novak. He alone is responsible.

It is our hope that the members of Profitable Sunrise are now in a position to review the facts about Profitable Sunrise that has been presented here. Facts they were unwilling to accept, or did not want to believe about Profitable Sunrise before now.

There are many of you who can take action, and if you want to know what action may be available to you, please contact us, from the menu above.

Each person’s situation is different, and will determine which type of action you might be able to take. We look forward to assisting you.