Post by Sapphire Capital on Sept 29, 2008 0:33:55 GMT 4
U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 20728 / September 19, 2008
SEC v. David William Thomas and Global Marketing Consultants, LLC, Civ. No. 08-CV-02026-REB-MJW (D. Colo.) (filed September 19, 2008)
SEC Brings Fraud Charges Against David William Thomas and Global Marketing Consultants, LLC
The Securities and Exchange Commission ("Commission") charged David William Thomas ("Thomas"), of Loveland, Colorado, with misappropriating investor funds through two fraudulent investment schemes. According to the Commission's complaint, filed September 19, in federal district court in Denver, Colorado, from at least June 2002 through February 2005, Thomas, through his company, Global Marketing Consultants, LLC ("GMC"), offered and sold unregistered securities in the form of investment contracts, and raised approximately $6.3 million from over 140 investors nationwide. According to the complaint, approximately one-third of the investors are seniors. The complaint alleges that, among other things, Thomas and GMC represented that investor funds would be pooled into "non-depleting custodial" bank accounts and would be used only as collateral to fund a high-speed internet business and a global positioning system business. The complaint also alleges that Thomas and GMC represented that the investments were fully insured and would generate a "high rate of return." According to the Commission's complaint, all of Thomas' and GMC's representations were false and misleading, and unbeknownst to the investors, the true nature of Thomas' plan was to use investors' money for prime bank trading programs. Further, the complaint alleges that Thomas acted as an unregistered broker dealer.
The Commission's complaint alleges Thomas violated Sections 5(a), 5(c), and 17(a) of the Securities Act of 1933 ("Securities Act"); Sections 10(b) and 15(a) of the Securities Exchange Act of 1934 ("Exchange Act") and Rule 10b-5 thereunder; and GMC violated Sections 5(a), 5(c), and 17(a) of the Securities Act; Section 10(b) of the Exchange Act and Rule 10b-5 thereunder. Without admitting or denying the Commission's claims, Thomas and GMC each consented to the entry of an order permanently enjoining them from future violations of the same provisions of the federal securities laws.
complaint: www.sec.gov/litigation/complaints/2008/comp20728.pdf
Litigation Release No. 20728 / September 19, 2008
SEC v. David William Thomas and Global Marketing Consultants, LLC, Civ. No. 08-CV-02026-REB-MJW (D. Colo.) (filed September 19, 2008)
SEC Brings Fraud Charges Against David William Thomas and Global Marketing Consultants, LLC
The Securities and Exchange Commission ("Commission") charged David William Thomas ("Thomas"), of Loveland, Colorado, with misappropriating investor funds through two fraudulent investment schemes. According to the Commission's complaint, filed September 19, in federal district court in Denver, Colorado, from at least June 2002 through February 2005, Thomas, through his company, Global Marketing Consultants, LLC ("GMC"), offered and sold unregistered securities in the form of investment contracts, and raised approximately $6.3 million from over 140 investors nationwide. According to the complaint, approximately one-third of the investors are seniors. The complaint alleges that, among other things, Thomas and GMC represented that investor funds would be pooled into "non-depleting custodial" bank accounts and would be used only as collateral to fund a high-speed internet business and a global positioning system business. The complaint also alleges that Thomas and GMC represented that the investments were fully insured and would generate a "high rate of return." According to the Commission's complaint, all of Thomas' and GMC's representations were false and misleading, and unbeknownst to the investors, the true nature of Thomas' plan was to use investors' money for prime bank trading programs. Further, the complaint alleges that Thomas acted as an unregistered broker dealer.
The Commission's complaint alleges Thomas violated Sections 5(a), 5(c), and 17(a) of the Securities Act of 1933 ("Securities Act"); Sections 10(b) and 15(a) of the Securities Exchange Act of 1934 ("Exchange Act") and Rule 10b-5 thereunder; and GMC violated Sections 5(a), 5(c), and 17(a) of the Securities Act; Section 10(b) of the Exchange Act and Rule 10b-5 thereunder. Without admitting or denying the Commission's claims, Thomas and GMC each consented to the entry of an order permanently enjoining them from future violations of the same provisions of the federal securities laws.
complaint: www.sec.gov/litigation/complaints/2008/comp20728.pdf