Northamerican Energy (NNYR)

[creede]

Yep.

I still have 35k

[jchords]

Moving

[lurker_0]

Just an FYI - Jon C Ginder met with an 'untimely death' in 2015

[creede]

I have AC_CR and TR_AE. Both went Grey to Pink.

I also managed get some LB_WR back just in case it turned Pink again (dumped it for a tax loss long ago).

I mostly buy Lazar Shells and Penny Warrants.

[AAsuited]

I got out of NNYR because Jon kept increasing the OS shares and later did an RS. Lost about 700 here.

I quit trading otcbbs for about 7 yrs. It parallels the time during Obama was in office. Pennies mostly sucked during that time. I only made otcbb money 1 time in that span. Still traded big board stocks some.

Strange how your otcbb trading parallels mine a bit and why u got out.

Still got 2 stocks from those days. FRGY and runner EGYF

Lazar and Acaro stocks tend to be the best pop and drop custodian plays. YYYH did a RS 50 to 1. The Hong Kong Phooey chop strikes again !!!! See u one those boards some

NNYR has gone to 750 M OS, yet the float is a nice 75M

One thing I've learned is stay away generally from BS twitter stock posts for otcbb plays. It is good for entertainment value/ideas though. Have never got "burned" by any front loaders/pumpers cuz I always do my own thing.

If I would have "invested" in OPTI, it would be down 75% now LOL

[creede]

I'm not sure.

I didn't like Jon's choice of IR guys so I got away from this one before it completely fell apart.

Labwire totally caught me by surprise. Nothing scammy but the business itself collapsed with the recession. Companies stopped hiring and therefore did not need lab tests anymore. That spelled the doom of the stock and eventually the company. I believe it filed for Bk back in 2009 or something like that.

I ended up completely giving up trading for about a decade. Had an old holding go from Grey to Pink (ACCR) last October. That got me back in the saddle again.

[joev2]

I remember you....you were big on this and Lbwr. Anyway, this one seems to have a slight pulse again. There was another stock I had that I sold 100k at .0008 after it being dead like ten years. Last I looked it was .11. I don't want to look again lol. Maybe something will happen here. I still have 5k shares.

Wonder whatever happened to Dexter?

[creede]

Hi joev2,

long time no see.

thanks for the info.

[joev2]

See post 1406....it's been awhile since Jon was out.

[creede]

No luck getting in touch with Ginder so I checked the NV SOS.

Looks like he is not longer associated with company.

New officers.

https://esos.nv.gov/EntitySearch/BusinessInformation

Not sure if that is a good or a bad thing...

President SONG QING C TANG c/o 204 WEST SPEAR STREET, #1758, Carson City, NV, 89703, USA 07/22/2020 Active
Secretary ROBERT SCHULMAN c/o 204 WEST SPEAR STREET, #1758, Carson City, NV, 89703, USA 07/22/2020 Active
Treasurer CHRISTINA CHANG c/o 204 WEST SPEAR STREET, #1758, Carson City, NV, 89703, USA 07/22/2020 Active
Director MR GUAN C XIANG c/o 204 WEST SPEAR STREET, #1758, Carson City, NV, 89703, USA 07/22/2020 Active

[creede]

I have not heard anything yet from Jon Ginder.

I have tried to call and email.

The company phone number and email seems to be disconnected. The website is gone as well.

Hopefully Jon is ok. Seemed like a really great guy.

I will keep trying...

[creede]

Yep. I talked to the CEO several times years ago.

Will try to call him again when I get the chance.

[jchords]

Interesting... thanks for the info

[creede]

Hi jchords,

I owned quite a few shares back in 2007-2009.

I believe the company was heavily involved in trying to get the oil out of old reserves. Think they purchased quite a few of them.

If memory serves, most oil reserves are "capped" while the majority of the oil is still in the ground. The pressure drops after a certain amount of the oil is taken out. Then you have to pump it out — which can be more expensive then just starting a new rig.

Fracking has come along and changed all that. Hopefully NNYR is still in business and making a lot of money.

That's what I am hoping.

[creede]

Hey Jon,

NNYR just went Grey to Pink today.

You still the CEO?

[jchords]

Grey to pink

[CowboyUp5000]

DELETED POSTS!?!?!

What? So now someone truthfully states how much they have lost on this stock and we delete their posts?? And the reply to my post which I never saw BTW.

CowboyUp5000

[jchristiang]

Check out the website (www.northamericanenergy.net) and see where the Chinese bought the controlling interests

[joev2]

Was looking over the board for some old posts and came across this one. Curious as to your present day thoughts. Any hope whatsoever for either of these characters? I still hear that Lbwr's phone works...so one bill is being paid. lol.

[CowboyUp5000]

Anyone hear anything on this lately?? Is John in jail yet? :)

[DDhawk]

SEC shut-down but 'still tradable'...WTF good is that ?

1/2-ass measures @ best !

[CowboyUp5000]

Would you happen to know whom it is that I should email? And maybe an e-mail address??

[bar1080]

You mean Jon Christian Ginder, the name he often used. He was supposed to be some oil/gas expert but Google News has almost nothing about him. He certainly doesn't appear to be known in that industry.

[riskit]

So happy to see the SEC shut down this scammer! Jon used to appear here and would present himself as some wonderful christian fellow. Then about 2 or 3 days before the reverse split the volume went crazy!
I knew then, this guy was a snake but thought, another typical pink-sheet, he'll never get caught. HAHAHA! I really hope they take away all his toys and lock him up for a long time with people of his kind.

[bar1080]

cowboy >>> email the SEC lawyers who are involved with the litigation. Encourage them to use their fullest efforts to assure justice. Let them know you will be eager to cooperate. Give them the names of anyone you believe abetted any scam

Overworked govt lawyers love fan mail (or emails). thats probably the easiest and cheapest thing you can do at this stage

[CowboyUp5000]

Anyone can answer AAsuited question? Any chance the stock investors can join in on the law suit?

[scion]

08/18/2010 14 ORDER to provide accounting.(Signed by Judge Sim Lake) Parties notified.(hcarr, ) (Entered: 08/18/2010)

Doc 14 PDF file
http://viewer.zoho.com/docs/mfdxf

[scion]

08/18/2010 13 ORDER appointing receiver Kelly M Crawford.(Signed by Judge Sim Lake) Parties notified.(hcarr, ) (Entered: 08/18/2010)

Doc 13 PDF file
http://viewer.zoho.com/docs/zdQrb

[scion]

08/18/2010 12 AGREED INTERLOCUTORY JUDGMENT granting 11 Motion.(Signed by Judge Sim Lake) Parties notified.(hcarr, ) (Entered: 08/18/2010)

Doc 12 PDF file
http://viewer.zoho.com/docs/fbcDd

[scion]

08/17/2010 10 STIPULATION re: Consent of Defendants by U.S. Securities and Exchange Commission, filed. (Attachments: # 1 Proposed Order Agreed Interlocutory Judgment)(Loftin, Harold) (Entered: 08/17/2010)


Doc 10 PDF file
http://viewer.zoho.com/docs/kasbh

Doc 10-1 PDF file
http://viewer.zoho.com/docs/qaobbf


Document Number: 10 5 pages 196 kb

Attachment Description
1 Proposed Order Agreed Interlocutory Judgment 5 pages 166 kb

[scion]

Pacer update 18 Aug 10 CIVIL DOCKET FOR CASE #: 4:10-cv-02867 U.S. Securities and Exchange Commission v. Ginder et al

Date Filed # Docket Text

08/18/2010 14 ORDER to provide accounting.(Signed by Judge Sim Lake) Parties notified.(hcarr, ) (Entered: 08/18/2010)

08/18/2010 13 ORDER appointing receiver Kelly M Crawford.(Signed by Judge Sim Lake) Parties notified.(hcarr, ) (Entered: 08/18/2010)

08/18/2010 12 AGREED INTERLOCUTORY JUDGMENT granting 11 Motion.(Signed by Judge Sim Lake) Parties notified.(hcarr, ) (Entered: 08/18/2010)

08/17/2010 11 Unopposed MOTION Agreed Interlocutory Judgment, Appointing Receiver and Provide Accounting by U.S. Securities and Exchange Commission, filed. Motion Docket Date 9/7/2010. (Attachments: # 1 Proposed Order Agreed Interlocutory Judgment, # 2 Proposed Order Agreed Order Appointing Receiver, # 3 Proposed Order Agreed Order to Provide Accounting)(Loftin, Harold) (Entered: 08/17/2010)

08/17/2010 10 STIPULATION re: Consent of Defendants by U.S. Securities and Exchange Commission, filed. (Attachments: # 1 Proposed Order Agreed Interlocutory Judgment)(Loftin, Harold) (Entered: 08/17/2010)


Plaintiff
U.S. Securities and Exchange Commission


V.
Defendant
Jon C Ginder

Defendant
Northamerican Energy Group, Inc.

Defendant
Northamerican Energy Group, Corp.

https://ecf.txsd.uscourts.gov/cgi-bin/iquery.pl

[scion]

SEC: Oil-And-Gas Scammer Paid Belize Company For Ad That Ran On CNBC, Fox Business News; Offer Proved To Be Fraudulent; Jon C. Ginder Charged In Emergency Action

By PatrickPretty.com 9:27 a.m. Aug. 13, 2010
http://patrickpretty.com/2010/08/13/sec-oil-and-gas-scammer-paid-belize-company-for-ad-that-ran-on-cnbc-fox-business-news-offer-proved-to-be-fraudulent-jon-c-ginder-charged-in-emergency-action/

A Texas man paid a Belize company to produce ads that ran on CNBC and Fox Business News for his oil-and-gas venture, but the offer proved to be fraudulent and the SEC has filed an emergency court action to stop the scheme, the agency said.

Jon C. Grinder of Houston used “at least” $210,000 of investor funds to pay the offshore firm to launch the TV ads, which claimed investors could earn annual returns of up to 40 percent from “low risk producing wells.”

Ginder personally called prospects who responded to the ads. The SEC described the scheme as multilayered, saying Ginder “fraudulently raised approximately $3.5 million from over 50 investors nationwide through three unregistered oil and gas limited partnership offerings.”

Investors were told their money would be used to purchases leases and renovate existing wells to enhance production, amid claims that “historical oil and gas data” suggested production would surge once the properties were improved.

The SEC described the claims as “wildly optimistic” and “fraudulent on their face” because “the historical oil and gas production from the partnership leases was very poor” and “many of the wells had no recent production history.”

In one of the offerings, annual production was estimated at 91,000 barrels even though the wells had produced a total of only 67,000 barrels in the preceding 15 years.

“There were no reserve reports or any other credible basis upon which he could form a reasonable belief that the wells could be reworked to yield a production rate in a single year that would exceed over 135 percent of the prior combined 15 years['] worth of productivity,” the SEC said.

During the first year of the venture (2008), total production after several wells “purportedly” were reworked topped out at only about 3,522 barrels — a far cry from the projection of 91,000 barrels, the SEC said.

In 2009, the agency said, production topped out at about 3,986 barrels.

Ginder continued to raise funds based on the same “false and misleading” projections through March 2010, while also failing to disclose the venture was operating at a loss, the SEC said.

But production misrepresentations were only part of the scheme, the SEC said.

Ginder, according to the agency, also used investor funds to provide an unauthorized, interest-free loan of $300,000 to a penny-stock company “founded by his friend and in which Ginder owned stock.”

The penny-stock firm “failed to repay the loan,” the SEC said.

Ginder also did not disclose that $800,000 in investor funds were used to purchase leases from a private company he controlled, netting him a cash profit of $700,000 and 10 “partnership units” worth $60,000 each, the agency charged.

All in all, Ginder netted $1.3 million from self-dealing, the SEC alleged.

The SEC has asked a federal judge to freeze Ginder’s assets, along with the assets of two related companies: Northamerican Energy Group Inc. (NEG) and Northamerican Energy Group Corp. (NEGC). The agency alleged that the scheme operated between February 2008 and May 2010.

Read the SEC complaint.
http://sec.gov/litigation/complaints/2010/comp21624.pdf

http://patrickpretty.com/2010/08/13/sec-oil-and-gas-scammer-paid-belize-company-for-ad-that-ran-on-cnbc-fox-business-news-offer-proved-to-be-fraudulent-jon-c-ginder-charged-in-emergency-action/

[bar1080]

article on Jon Christian Ginder SEC problems

http://patrickpretty.com/2010/08/13/sec-oil-and-gas-scammer-paid-belize-company-for-ad-that-ran-on-cnbc-fox-business-news-offer-proved-to-be-fraudulent-jon-c-ginder-charged-in-emergency-action/

[bar1080]

u cant compare junk like nnyr with 99% of big board stocks. otcbb/pink pennies never invent anything, never cure any disease, and never employ american workers except perhaps a few temps to answer the phone. Mostly just the owner and his three lawyers lol. >>> the category adds nothing to our economy

"I switched to the pennies after recognizing that large companies are just as scammy in their own ways, only more expensive."

<1% of big board stocks are scams. 98% of ihub pink pennies are. why do think successful investors-- people like buffett -- never buy these stocks >>> ive never owned a single stock or bond that ran into significant sec problems

[AAsuited]

Any chance for NNYR stock Investors to join in the lawsuit?

[joev2]

I hear you and I appreciate the concern. Lbwr and this one were among my first in the foray of penny stocks. I did give them more of a leeway since they claimed to be Christian. With that said, they weren't the first and probably not the last to rip me off.

With that said, I switched to the pennies after recognizing that large companies are just as scammy in their own ways, only more expensive. We're all aware of the billion dollar fines paid without any admittance of guilt, along with the shredders working OT at Arthur Anderson. I've managed to survive this long, but I admit there are sharks all over the place, including under the Christian guise.

[bar1080]

SEC warns on religious affinity scams. This warning is especially appropriate in reference to this stock, imo

http://www.sec.gov/investor/pubs/affinity.htm

[creede]

Thanks Joe, and likewise.

Agree with all that you wrote.

[scion]

SEC Takes Emergency Action to Shut Down Alleged Oil and Gas Fraud

On August 13, 2010, in Oil and Gas, SEC, Scams, Securities Industry (general), Texas, by IW Dog
http://investorswatchdog.com/blog/investorswatchblog/?p=2226

Oil and gas frauds will never fade. They’ve proven too good a vehicle for separating people from their life savings.

The U.S. Securities and Exchange Commission (“SEC’) has charged Houston resident Jon C. Ginder (“Ginder”) and two related companies, Northamerican Energy Group, Inc. (“NEG”) and Northamerican Energy Group Corp. (NEGC”), with securities fraud. Specifically, the SEC claims that the defendants fraudulently raised approximately $3.5 million from about 50 investors between February 2008 and May 2010, The SEC’s press release reads in part:

Investors were solicited through television advertisements touting annual returns as high as 40% from low risk producing wells. The estimated returns were purportedly based upon historical oil and gas data. In fact, the complaint alleges that historical oil and gas production from the leases in the first two partnership offerings was very poor, and many of the wells had no recent production history.

In connection with the first, and largest offering that raised in excess of $2.4 million, investors were told that funds would be used only for partnership purposes, specifically to purchase leases and renovate existing wells to “further enhance monthly production.” Contrary to these representations, the complaint alleges that $800,000 of investor funds were utilized to purchase leases from a private company Ginder controlled for an undisclosed profit of approximately $700,000 in cash plus an additional ten partnership units worth $60,000 per unit — in essence an undisclosed profit of $1.3 million. Further, without the partners’ approval, it is alleged that Ginder withdrew $300,000 from the partnership’s operating account to make an unsecured and non-interest bearing “loan” to a penny stock company operated by a personal friend and in which Ginder owned stock. The general partner has also borrowed over $478,000 from the partnership. None of these funds were repaid to the partnership. Ginder also paid at least $210,000 of investor funds for the television advertising campaign that generated investor leads.. None of the above expenditures, which total approximately 70% of the offering proceeds, were approved by investors.

Within the past two weeks, Investor’s Watchdog has conducted three Winnow® investigations for clients interested in three separate oil and gas ventures. In two of those investigations we found multiple red flags suggesting a strong likelihood of fraud.

Oil and gas frauds will never fade. They’ve proven too good a vehicle for separating people from their life savings. Before you invest in one, consider finding out what an SEC-trained investigator can learn for you.

http://investorswatchdog.com/blog/investorswatchblog/?p=2226

[bar1080]

creede >>> 'not a joke. jchristiang is actually Jon C. Ginder.'


Posted by: creede Member Level Date: Wednesday, February 22, 2006 11:37:40 PM
In reply to: jchristiang who wrote msg# 19 Post # of 1380 t
Welcome to our forum Jon.

http://www.northamericanenergy.net/board.htm

Jon C. Ginder - Chairman & CEO

Mr. Jon Ginder, the Chairman of Northamerican Energy Group Corporation has in excess of thirty years experience in corporate management, including Senior Vice President & Regional Manager of Northamerican Sureties, a private surety bonding company, Vice President & Division Manager of JWP Electronics, a former Fortune 500 electronic/technical systems company, President and COO of Southern Coke and Chemical, a coke & chemical company formed in partnership with ABB International, a Fortune 100 international company, which was created to purchase Lone Star Steel coke & chemical plant, President & CEO of a group of international construction services companies, Vice President and Group Operations Manager of a international industrial contracting firm. Recent interests include being a Director and the major stockholder in PC People, a software distributor implementation company.

Fellas, this is not a joke. jchristiang is actually Jon C. Ginder. I told him we had established this forum, and he showed up. I called him today and he confired. I asked him what he could post, and he said that anything he says here must be public knowledge. So, please keep everything above the boards so that your post won't be deleted.

P.S. Ever been on an IHUB thread with the CEO? Me either. Told you Jon was a real cowboy.

[joev2]

You have to give Jon a lot of credit. The SEC is so far behind in going after suspect business practices, that he must have done something so eye-opening, that they just had to respond. Dexter of Labwire and Cotton of Cwrn (whom Jon often chastens) have yet to reach this dubious honor.

In my history of watching the SEC act, they just don't bother unless they're sure they got the goods on the individual.

As a Christian, I'd like to see this all go away, but then again, the Lord will not pull punches in His determination to wake someone up....jail time included.

[lazyeye]

LOL...how's THIS for irony? What a shipthead he is imo.

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=53301963

[lazyeye]

Saw this coming about 3 years ago...CEO's posting on message boards usually = the first clue that somethin' just ain't right...

I hope they hang him and anyone else (and you know who you are on here)involved in this long running scam if true.

[scion]

08/11/2010 7 MOTION for Preliminary Injunction by U.S. Securities and Exchange Commission, filed. Motion Docket Date 9/1/2010. (Attachments: # 1 Proposed Order)(Loftin, Harold) (Entered: 08/11/2010)

Doc 7 PDF file
http://viewer.zoho.com/docs/qL8ic

Doc 7-1 PDF file
http://viewer.zoho.com/docs/qL6Fj

Document Number: 7 3 pages 109 kb

Attachment Description

1 Proposed Order 6 pages 217 kb

[scion]

08/11/2010 1 COMPLAINT against Jon C Ginder, Northamerican Energy Group, Corp., Northamerican Energy Group, Inc. filed by U.S. Securities and Exchange Commission. (Attachments: # 1 Civil Cover Sheet)(Loftin, Harold) (Entered: 08/11/2010)

Doc 1 PDF file
http://www.sec.gov/litigation/complaints/2010/comp21624.pdf

[scion]

Pacer update 13 Aug 10 CIVIL DOCKET FOR CASE #: 4:10-cv-02867 U.S. Securities and Exchange Commission v. Ginder et al

U.S. Securities and Exchange Commission v. Ginder et al
Assigned to: Judge Sim Lake
Cause: 15:77 Securities Fraud

Date Filed: 08/11/2010
Jury Demand: None
Nature of Suit: 850 Securities/Commodities
Jurisdiction: U.S. Government Plaintiff

Date Filed # Docket Text

08/13/2010 9 WAIVER OF SERVICE Returned Executed as to Jon C Ginder served on 8/12/2010, answer due 10/12/2010; Northamerican Energy Group, Corp. served on 8/12/2010, answer due 10/12/2010; Northamerican Energy Group, Inc. served on 8/12/2010, answer due 10/12/2010, filed.(Loftin, Harold) (Entered: 08/13/2010)

08/12/2010 8 ORDER Expediting Hearing on 4 Motion for Orders Freezing Assets Appointing Receiver and Other Expedited Equitable Relief. Motion Hearing set for 8/20/2010 at 02:00 PM in Courtroom 9B before Judge Sim Lake. Defendants response due 8/17/2010 at 3:00 p.m. Plaintiff reply due 8/19/2010 at 3:00 p.m.(Signed by Judge Sim Lake) Parties notified.(hcarr, ) (Entered: 08/12/2010)

08/11/2010 7 MOTION for Preliminary Injunction by U.S. Securities and Exchange Commission, filed. Motion Docket Date 9/1/2010. (Attachments: # 1 Proposed Order)(Loftin, Harold) (Entered: 08/11/2010)

08/11/2010 6 MEMORANDUM in Support re: 4 MOTION Asset Freeze Order, Appointment of Receiver and Other Orders Granting Emergency Equitable Relief by U.S. Securities and Exchange Commission, filed.(Loftin, Harold) (Entered: 08/11/2010)

08/11/2010 5 EXHIBITS re: 4 MOTION Asset Freeze Order, Appointment of Receiver and Other Orders Granting Emergency Equitable Relief by U.S. Securities and Exchange Commission, filed. (Attachments: # 1 Appendix Exhibit D, # 2 Appendix Exhibit E, # 3 Appendix Exhibit F, # 4 Appendix Exhibit G, # 5 Appendix Exhibit H, # 6 Appendix Exhibit I, # 7 Appendix Exhibit J, # 8 Appendix Exhibit K, # 9 Appendix Exhibit L, # 10 Appendix Exhibit M, # 11 Appendix Exhibit N, # 12 Appendix Exhibit O, # 13 Appendix Exhibit P, # 14 Appendix Exhibit Q Part 1, # 15 Appendix Exhibit Q Part 2, # 16 Appendix Exhibit R)(Loftin, Harold) (Entered: 08/11/2010)

08/11/2010 4 MOTION Asset Freeze Order, Appointment of Receiver and Other Orders Granting Emergency Equitable Relief by U.S. Securities and Exchange Commission, filed. Motion Docket Date 9/1/2010. (Attachments: # 1 Proposed Order Freezing Assets and Granting Emergency Equitable Relief, # 2 Proposed Order Appointing Receiver, # 3 Proposed Order Expediting Hearing, # 4 Appendix, # 5 Appendix Declaration of Richard E. Zadina, # 6 Appendix Exhibit A, # 7 Appendix Exhibit B, # 8 Appendix Exhibit C)(Loftin, Harold) (Entered: 08/11/2010)

08/11/2010 3 ORDER for Initial Pretrial and Scheduling Conference and Order to Disclose Interested Persons. Initial Conference set for 12/3/2010 at 02:00 PM in Courtroom 9B before Judge Sim Lake.(Signed by Judge Sim Lake) Parties notified.(smurdock, ) (Entered: 08/11/2010)

08/11/2010 2 CERTIFICATE OF INTERESTED PARTIES by U.S. Securities and Exchange Commission, filed.(Loftin, Harold) (Entered: 08/11/2010)

08/11/2010 1 COMPLAINT against Jon C Ginder, Northamerican Energy Group, Corp., Northamerican Energy Group, Inc. filed by U.S. Securities and Exchange Commission. (Attachments: # 1 Civil Cover Sheet)(Loftin, Harold) (Entered: 08/11/2010)

Plaintiff
U.S. Securities and Exchange Commission

represented by Harold R Loftin , Jr
US Securities & Exchange Comm
801 Cherry St
Ste 1900
Ft Worth, TX 76102
817-978-6450
Fax: [phone] fax
Email: [e-mail]
ATTORNEY TO BE NOTICED

V.
Defendant
Jon C Ginder

Defendant
Northamerican Energy Group, Inc.

Defendant
Northamerican Energy Group, Corp.

https://ecf.txsd.uscourts.gov/cgi-bin/iquery.pl

[creede]

I guess so. What say you to this?

Posted by: scion Date: Friday, August 13, 2010 6:05:52 PM
In reply to: None Post # of 16666

SEC Seeks Receiver in Alleged Houston Oil and Gas Fraud

U.S. Securities and Exchange Commission

Litigation Release No. 21624 / August 12, 2010

Securities and Exchange Commission v. Jon C. Ginder, Northamerican Energy Group, Inc., and Northamerican Energy Group, Corp. Civil Action No. 4:10-cv-02867 (U.S.D.C Texas, Houston Division)

SEC Seeks Receiver in Alleged Houston Oil and Gas Fraud

On August 11, 2010, the U.S. Securities and Exchange Commission filed a complaint in the United States District Court for the Southern District of Texas, Houston Division seeking emergency relief including the appointment of a receiver, against Houston resident Jon C. Ginder ("Ginder") and two related oil and gas companies, Northamerican Energy Group, Inc. ("NEG") and Northamerican Energy Group Corp. (NEGC). The complaint alleges that from February 2008 to May 2010, trhe defendants fraudulently raised approximately $3.5 million from over 50 investors nationwide through unregistered oil and gas limited partnership offerings. Investors were solicited through television advertisements touting annual returns as high as 40% from low risk producing wells. The estimated returns were purportedly based upon historical oil and gas data. In fact, the complaint alleges that historical oil and gas production from the leases in the first two partnership offerings was very poor, and many of the wells had no recent production history.

In connection with the first, and largest offering that raised in excess of $2.4 million, investors were told that funds would be used only for partnership purposes, specifically to purchase leases and renovate existing wells to "further enhance monthly production." Contrary to these representations, the complaint alleges that $800,000 of investor funds were utilized to purchase leases from a private company Ginder controlled for an undisclosed profit of approximately $700,000 in cash plus an additional ten partnership units worth $60,000 per unit — in essence an undisclosed profit of $1.3 million. Further, without the partners' approval, it is alleged that Ginder withdrew $300,000 from the partnership's operating account to make an unsecured and non-interest bearing "loan" to a penny stock company operated by a personal friend and in which Ginder owned stock. The general partner has also borrowed over $478,000 from the partnership. None of these funds were repaid to the partnership. Ginder also paid at least $210,000 of investor funds for the television advertising campaign that generated investor leads.. None of the above expenditures, which total approximately 70% of the offering proceeds, were approved by investors.

In connection with another offering that raised approximately $900,000, it is alleged that the defendants made material misstatements and omissions concerning the identity of the general partner, and the defendants' prior oil and gas activities.

The complaint alleges that the defendants violated the registration provisions of Sections 5(a) and 5(c) of the Securities Act of 1933 and the anti-fraud provisions of Section 17(a) of the Securities Act and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. In addition to the emergency relief, the complaint seeks preliminary and permanent injunctions, disgorgement plus prejudgment interest and civil monetary penalties.

See Also: SEC Complaint

http://www.sec.gov/litigation/complaints/2010/comp21624.pdf


http://www.sec.gov/litigation/litreleases/2010/lr21624.htm

[creede]

If you actually think that this is ever going to get out of greysheet hell then please do not ruin it for us by reversing the shares.

[jchristiang]

Maybe something is in the works

[chico392]

i pop in every now and then....gl