Blaine Rollins, who once managed one of America's largest and best-known mutual funds, is the director of research for an alleged Ponzi scheme known as Mueller Capital Management in Greenwood Village, Colo.
Rollins managed $11 billion in the Janus Fund, part of Janus Capital (JNS: 13.73, 0.04, 0.29%), until January 2006 when he was reassigned to the smaller Janus Triton Fund. He subsequently resigned from the Denver-based mutual-fund company and ended up working for Mueller.
Rollins did not return multiple phone calls and emails placed since Wednesday. His voice still answers on Mueller Capital's voice mail. The Web site of the Lance Armstrong Foundation, where Rollins serves as a director, had listed him as Mueller Capital's research director until an initial version of this article ran on Dow Jones Newswires. Rollins lives in one of the most affluent neighborhoods in Denver, called Buell Mansion, a gated community. A reporter attempted to visit Rollins but was turned away by a security guard.
The firm's founder, Sean Mueller, 41 years old, last week attempted to jump from a building after sending his clients an email saying the money was gone.
On Tuesday, Colorado Securities Commissioner Fred Joseph won a court motion for the emergency of an appointment of a receiver for Mueller's various business entities. He first alleged in court documents on Friday that Mueller was running a Ponzi scheme. The latest motion says the commission is aware of three investors with at least $20 million in Mueller's funds, and 30 others with "substantial investments."