The state Department of Commerce is investigating the sale of risky real estate investments that have threatened the retirement savings of hundreds of Minnesotans, according to a former investor.
In November, the Star Tribune reported how the collapse of an Idaho company called DBSI and subsequent fraud investigations raised questions about federal oversight of the investments, many of which were sold by local brokers.An elderly Richfield woman told Whistleblower that she sank more than half a million dollars into commercial real estate outside Minnesota on the advice of her real estate agent, and fears that her investment is now worth a small fraction of that.
Late last year, Anne Dykstra of Golden Valley and other former DBSI investors met with the Commerce Department, which licenses real estate professionals.
A Commerce spokeswoman said she couldn't confirm or deny the probe, but Dykstra said this week she's in regular contact with an agency investigator. Whistleblower will check back to see whether anything comes of it.
