Jawad Rathore, former CEO, and Vince Petrozza, former COO, the co-founders of the now-defunct syndicated mortgage company Fortress Real Developments Inc., have been found guilty of fraud after a weeks-long criminal trial in Toronto. The company, founded in 2008, aimed to popularize syndicated mortgages for 'mom-and-pop' investors to fund early-stage real estate projects. The Crown successfully argued that Fortress mischaracterized disclosures to investors regarding the projects. The charges were narrowed from four to two projects: SkyCity in Winnipeg and the Collier Centre in Barrie, Ont. Charges of accepting secret commissions were dropped earlier this year.
Fortress Real Developments co-founders found guilty of fraud
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TL;DR: Key points with love ❤️Jawad Rathore, former CEO, and Vince Petrozza, former COO, the co-founders of the now-defunct syndicated mortgage company Fortress Real Developments Inc., have been found guilty of fraud after a weeks-long criminal trial in Toronto. The company, founded in 2008, aimed to popularize syndicated mortgages for 'mom-and-pop' investors to fund early-stage real estate projects. The Crown successfully argued that Fortress mischaracterized disclosures to investors regarding the projects. The charges were narrowed from four to two projects: SkyCity in Winnipeg and the Collier Centre in Barrie, Ont. Charges of accepting secret commissions were dropped earlier this year.
Trending- 1 2008: Fortress Real Developments Inc. founded.
- 2 Last year: Criminal trial against Rathore and Petrozza kicked off.
- 3 Earlier this year: Secret commissions charges against Rathore and Petrozza dropped.
- 4 Wednesday (current week): Justice Daniel Moore delivered the guilty verdict in Toronto.
- Co-founders found guilty of fraud.
- Fortress Real Developments Inc. is now defunct.
- Investors were misled about real estate projects.
- Legal repercussions for the convicted individuals.
What: The co-founders of Fortress Real Developments Inc., Jawad Rathore and Vince Petrozza, were found guilty of fraud.
When: Published 2025-05-28; verdict delivered on Wednesday; company founded in 2008; case kicked off last year; secret commissions charges dropped earlier this year.
Where: Toronto courtroom, Canada; projects involved in Winnipeg and Barrie, Ontario.
Why: The Crown argued that the company mischaracterized disclosures to investors about the real estate projects they were investing in.
How: Fortress Real Developments Inc. aimed to help real estate developers raise money by popularizing syndicated mortgages to individual investors. The co-founders were tried in a criminal court, leading to a guilty verdict on fraud charges.