Wealthier investors, those interested in lending more than €100,000 at once, provided direct loans to the company. All the others – estimated to be up to 600 Estonian investors (the exact number and list of names have not been disclosed by the involved parties) – invested through so-called loan syndicates. The money was pooled together and then forwarded to Planet42 by a single company, according to a detailed report published by Eesti Ekspress on Wednesday.

Jaak Roosaare, his lawyer, and Planet42 founder and spokesperson Eerik Oja did not respond to Eesti Ekspress' inquiries regarding the fees earned.

The newspaper writes that by facilitating these loans and gathering the necessary funds, Roosaare was no longer an independent "investment guru-opinion leader" but rather a party with a vested interest in Planet 42's ongoing fundraising.

In his first public statement to Eesti Ekspress, Roosaare said that he has more money tied up in Planet42 than he received in fees for his work, and he feels misled.

The seven-year-old Planet42 has only generated losses so far. Last year, the company's losses amounted to €20.6 million.

"In recent years, the young company has raised at least €130 million. Most of this is extremely expensive loan money (over €100 million). Around €40 million of this comes from unsecured loans provided by Estonian investors, with interest rates of up to 20 percent per year," the newspaper notes.

Several finance experts have suggested that, given the scale of Roosaare's activities, he should possess a financial service license from the Financial Supervisory Authority.

According to the Financial Supervisory Authority, their mandate only covers service providers to whom they have issued a financial services license. Roosaare does not hold such a license.

Operating without a license can result in a prison sentence of up to three years under the Penal Code.

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