In a dramatic turn of events, two investors have filed a lawsuit alleging they were duped into funding a non-existent malt beverage company. Alexander Brooks and Steven Maslanik filed the complaint in the United States District Court for the Northern District of Illinois on March 19, 2025, against Anthony Spina. The plaintiffs claim they were misled into investing $287,500 based on false promises of launching an innovative alcoholic seltzer brand infused with electrolytes.
The case details how Brooks and Maslanik were approached by beverage industry veterans Seth Hillstrom and Anthony Spina in October 2019. They were enticed by the prospect of becoming co-owners of a new malt beverage venture. Despite having no experience in the beverage industry, Brooks and Maslanik decided to invest heavily based on Hillstrom and Spina's assurances of their expertise and previous successes, including Spina's alleged involvement with well-known brands like White Claw. The plaintiffs allege that Hillstrom and Spina promised to handle all technical aspects of launching the brand while they provided financial backing.
However, according to the complaint, despite their significant investment, no company was ever launched or developed. Instead, it is alleged that Hillstrom and Spina failed to return any funds or deliver on their promises. Plaintiffs discovered inconsistencies when Hillstrom advised them in early 2021 that Spina would no longer be involved in the project without providing clear reasons. Their investigation revealed that First Sign, Inc., the supposed company meant to launch the product, was never incorporated.
Further complicating matters, Brooks and Maslanik learned that Spina had launched his own beverage brand called "System Seltzers," which closely resembled what they had been led to believe their investment would create. This revelation has fueled accusations of fraudulent misrepresentation and breach of contract against Spina.
Brooks and Maslanik are seeking damages for breach of contract, unjust enrichment, fraudulent misrepresentation, negligent misrepresentation, civil conspiracy, and conversion. They demand compensation for lost funds amounting to $287,500 along with punitive damages for the alleged deceitful conduct by Spina. The plaintiffs also seek attorneys' fees and costs associated with bringing this action forward.
Representing Brooks and Maslanik is attorney Edward R. Sherman from Lillig & Thorsness Ltd., located in Oak Brook, Illinois. The case is presided over under Case No.: 1:25-cv-2903.