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Colorado authorities shut down low-income housing developer

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Colorado authorities shut down low-income housing developer


The Colorado Division of Securities is pursuing legal action against a man whom it claims deceived investors and used the ownership of federally supported low-income housing projects to line his own pockets. 

Securities Commissioner Tung Chan announced its civil court filings against Michael Dale Graham, 68, on Nov. 12. 

Chan’s office filed civil fraud charges against Graham, and also asked for a temporary restraining order and freezing of Graham’s assets and his companies’. A Denver district court judge immediately granted both. Since then, two court dates to review the those orders have canceled; a third is scheduled for mid-January.

Graham operates Sebastian Partners LLC, Sebastiane Partners LLC, and Gravitas Qualified Opportunity Zone Fund I LLC (“GQOZF”), all of which were controlled by Graham during his “elaborate real estate investment scheme,” as described by the securities office in a case document.

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The filing states Graham collected more than $1.1 million from eight investors to purchase three adjacent homes in Aurora. The Denver-based Gravitas fund and its investors purportedly qualified for the federal Qualified Opportunity Zone (QOZ) program with the homes. Qualified Opportunity Zones were created by the Tax Cuts and Jobs Act passed by Congress in 2017. The zones encouraged growth in low-income communities by offering tax benefits to investors, namely reductions in capital gains taxes on developed properties.

A file photo of a suburban housing development in the Denver metro area. 

Paul Souders/WorldFoto & Getty Images


Graham formed Gravitas in early 2019 and purchased the three homes located in the 21000 block of E. 60th Avenue two years later. He quickly sold one of them with notifying investors, according to the case document. While managing the other two, Graham and Gravitas transferred the fund’s assets and never operated within QOZ guidelines to the benefit of its investors or the community, according to the state. 

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Gravitas also transferred the titles for the two properties to Graham privately. As their owner, Graham obtained undocumented loans from friends totaling almost $600,000. The two loans used the two properties as security. 

Gravitas investors were never informed of the two loans, according to the case document. Also, Gravitas never sent its investors year-end tax reports, the securities office alleges. 

Graham used the proceeds of the loans for personal use. No specific details were provided about those uses.

“Effectively, Graham used Gravitas as his personal piggy bank,” as stated in the case document, “claiming both funds and properties as his own. Graham never told investors about the risks associated with transferring title to himself. On September 1, 2023, he sent a letter to investors, stating that the properties ‘we own’ are doing well and generating growth due to record-breaking home appreciation. But Gravitas no longer owned the properties.

“Gravitas no longer had assets at all.” 

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Furthermore, the securities office said Graham failed to notify investors of recent court orders against him in Colorado and California. In total, Graham was ordered to pay more than $1 million in damages related to previous real estate projects.

Graham’s most recent residence is in Reno, Nev., according to an online search of public records. He evidently has previously lived in Santa Monica, Calif., and Greenwood Village.

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Colorado Parks and Wildlife asks for public comment on possible commercial fur ban  

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Colorado Parks and Wildlife asks for public comment on possible commercial fur ban  


Colorado Parks and Wildlife will consider a potential ban on the commercial sale of furbearers at its July commission meeting. 

The idea for a ban on the commercial sale, barter or trade of furs from furbearer species — a classification that includes 17 wildlife species like​​ foxes, beavers, coyotes, bobcats and other mesocarnivores — came from a citizen petition brought to Parks and Wildlife last year by a Colorado representative of the Center of Biological Diversity. 

The commission approved the petition in March, against the recommendation of Parks and Wildlife staff, initiating a formal rulemaking process on the proposed ban. 



Now, Parks and Wildlife is seeking public input on the proposal to inform staff’s development of an issue paper that will be presented to the commission during its July 16-17 meetings. The agency will be accepting input from the public through May 3 on EngageCPW.org.  

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The proposed ban — and agency’s overall management of these 17 species — has been a topic of much debate at commission meetings for many months.  



In Colorado, furbearers can be hunted with the purchase of ​​a $10 permit available to individuals who purchase a small game license. In its 2024-25 fiscal year, the agency sold 19,620 furbearer permits. While there are currently no limits on the number that a furbearer permit-holder can kill of these species, the agency has had initial discussions about potentially imposing a daily limit.   

Samantha Miller, a Grand Lake resident and the senior carnivore campaigner for the Center for Biological Diversity who submitted the petition, has referred to the ban of commercial sale for furbearer furs as a “common sense change” and “low bar” that aligns furbearers with how Colorado manages other wildlife species. Miller and other supporters of the ban argue that allowing the commercial sale of furs incentivizes overharvesting of the animals and threatens overall biodiversity. 

In her recommendation to the commission, Laura Clellan, the newly appointed Parks and Wildlife director, wrote that the agency’s main rationale for denying the ban on commercial fur sales is that the petition “lacks solid evidence that commercial fur sales drive harvest levels in Colorado.”

Opponents of the petition supported the agency’s stance and have argued that the state’s current furbearer management works and is backed by science. Many claim that the proposed commercial ban represents a greater attack on hunting and trapping, which represents an important tradition in Colorado and supports conservation.

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Fire crews knock down wildfire that prompted evacuations in northern Colorado

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Fire crews knock down wildfire that prompted evacuations in northern Colorado


Fire crews are extinguishing hot spots on a wildfire in northern Colorado that prompted evacuations early Wednesday for people living near Carter Lake in Larimer County.

The Cougar Run fire was estimated at about 3 1/2 acres at about 8:30 a.m., down from an earlier estimate of 10 acres, according to the Larimer County Sheriff’s Office. The cause for the fire, which is burning on state land, remains unknown. 

The mandatory evacuation remained in effect as crews continue to work but were lifted at about 10:30 a.m., the sheriff’s office said.

Voluntary evacuations were also being urged for residents in the area of Blue Mountain and Spring Valley, west of Carter Lake, the agency said. 

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Crews from the sheriff’s office, the state’s fire division and Berthoud and Loveland fire departments are on scene, the sheriff’s office said. A helicopter was ordered. 

Fire restrictions are in effect for areas below 9,000 feet in unincorporated parts of Larimer County, barring uncontained open fires and smoking in open areas, such as trails and open spaces. 

“Elevated to critical fire weather” is expected across the lower Front Range foothills and Interstate 25 corridor Wednesday due to warm, dry and breezy conditions, according to the National Weather Service.  Moisture is expected to lower fire risk starting Thursday and through the weekend, with daily chances of showers and thunderstorms, the service said.

A separate fire that sparked northwest of Boulder grew to about 2 acres before crews stopped its progress earlier Wednesday. An evacuation warning was issued for the Goat Trail fire just before 4 a.m.



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Denver Silent Film Festival highlights upcoming feature film

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Denver Silent Film Festival highlights upcoming feature film


Denver Film is hosting its Silent Film Festival beginning Friday, including eight feature films and 11 shorts with live musical accompaniment.

Howie Movshovitz, Programmer for the Denver Silent Film Festival, joined CBS Colorado in the studio on Tuesday to highlight the film “Queen Kelly” and share what festivalgoers have to look forward to.

In the film “Queen Kelly”, produced in 1928-1929, a convent girl is abducted and seduced by a prince betrothed to a mad queen, an event that drastically changes the course of her life.

Cinema. Queen Kelly, (QUEEN KELLY) USA, 1928, Director: Erich von Stroheim, SEENA OWEN, GLORIA SWANSON  

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FilmPublicityArchive/United Archives via Getty Images


“People talk about ‘Queen Kelly’ as a restoration, but it isn’t because it was never finished. In 1928, Gloria Swanson got together with her producer/lover Joseph Kennedy, father of JFK, and they got together with Eric von Stroheim, a celebrity director, and they went to make Queen Kelly. And about halfway into it, Gloria Swanson fired him,” Movshovitz said.

He said that it’s unlikely the three of them would have been able to get along. Although the film was incomplete, he says there have been many attempts to restore it.

“A man named Dennis Doros and his partner/wife, Amy Heller, at Milestone Films did a reconstruction of it, and then a reconstruction of it. It’s been done a number of times, and this is the most recent,” Movshovitz explained. “They work from script. They work from outtakes, the visual quality of what von Stroheim shot, he was a genius, is fabulous. But it’s, of course, an imaginative response to a 1929 movie.”

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Queen Kelly

1929: Gloria Swanson (1897 – 1983) swoons in the arms of Walter Byron (1899 – 1972) in the film ‘Queen Kelly’, directed by Erich Von Stroheim for United Artists.

Hulton Archive / Getty Images


Movshovitz says the love of silent films is not just about nostalgia.

“There are many films that are utterly brilliant, utterly fabulous, and still work perfectly well today,” he said. “So, it’s a kind of film that people don’t look at very much, but it doesn’t need sympathy, it doesn’t need nostalgia. It needs people to understand that, just as we read old books and don’t think of them as old books, silent film has its own majesty.”

Watching silent films with musical accompaniment makes the experience unique, said Movshovitz, adding that the festival has a skilled group of musicians performing.

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The Denver Silent Film Festival runs from April 10-12 at the Sie Film Center in Denver. Click here to learn more about the featured films and to purchase tickets.



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