Vogel settles suit that claimed he stole $2 million related to Sigillito scheme

Paul Vogel and the investment firm he helped found have reached a settlement agreement with 11 investors in Martin Sigillito's massive Ponzi scheme.

Terms of the settlement are confidential.

The investors, led by Phil Rosemann, whose family once owned Eureka-based RotoMetrics, argued in an August lawsuit that Vogel, former chief executive of Enterprise Trust Co. and current CEO of Argos Partners, participated in the scheme, stealing more than $2 million for his failing residential real estate development at the Lake of the Ozarks. Vogel, who has declined numerous interview requests, previously denied the claims, pointing to his family's investments in the scheme.

But the plaintiffs' lawyers, including Sebastian Rucci, countered that Vogel stole more than his family invested. Rucci had demanded $4.3 million from Vogel and Argos.

"We got a good settlement for these people," Rucci said, adding that it was important it come now, before Argos' legal costs ate into its insurance policy.

He also said many of the victims are older, and need money now. Waiting on a potential judgment at trial, Rucci said, would have taken much longer.

One of Vogel's attorney's, Dan Tobben of Danna McKitrick, said documents related to the settlement were being finalized, and that Vogel and Argos would not comment.

The August suit, brought by Rosemann, Suzanne Glisson, Lewis Vollmar, Lewis and Marjorie and Mark Bernstein, Brad Werner and their various corporations and trusts, was the second against Vogel; he and Enterprise Bank settled similar claims in 2013.

The latest suit said Vogel was aware of Sigillito's scheme because, among other things, he completed a due diligence report for it, easing investors' concerns. Vogel, the suit said, traveled to England to examine properties that were central to the scheme, in which investments were sought for loans to Distinctive Properties of London. That entity was used to acquire options on agricultural land, obtain re-zoning for the land, exercise the options and sell the land at a profit of more than 15 percent for investors. But, the land was not worth that much, and investors were paid using money from new investors.