US: Global Aquaponics investor says company won't release finances

Dan Kondziolka bought two ownership units in Global Aquaponics’ project to build a 40-tank indoor fish farm that would have also used nutrient-rich water to grow fruits and vegetables. Company officials estimated the facility would produce up to 2.5 million pounds of food annually.

They held a groundbreaking last year on 40 acres of land south of Brookings, but work has not commenced on the facility.

Investors in the project have questioned where their money went and one company official acknowledged last week that he had been questioned by the FBI.

A key piece of the project’s financing was a private equity offering that Global Aquaponics used to attract investors. The 65-page document outlined the plan and included estimates of how much fish, shrimp and vegetables the facility would produce, as well as the revenues they would generate.

The offering called for raising about $5.3 million through the sale of 215 ownership units valued at $25,000 each. The offering, which opened last year, closed earlier this summer.

“Since then, I’ve had no feedback from the principles,” Kondziolka said.

Kondziolka said he has received “two grandiose letters” from Global Aquaponics since investing $50,000 for two units — one letter dated in March and one in June. He said the letters were not specific and lacked a timeline about when the project would get off the ground.

Read more at Argus Leader (Jonathan Ellis and Megan Raposa)