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November 29, 2010 was the deadline for Brian to request a rehearing, but that date came and went without a request for a rehearing being made.
Judge or not the crook is held accountable!
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Civil Court Case Information - Case History
Case Information
Case Number: TJ2010-017018 Judge: Barth, Michael
File Date: 11/19/2010 Location: Downtown
Case Type: Transcript Judgment
Party Information
Party Name Relationship Sex Attorney
State Of Arizona Corporation Commission Plaintiff J Dailey
Brian Patrick Langenbach Defendant Male Pro Per
Sheri Lynn Barbara Langenbach Defendant Female Pro Per
Case Documents
Filing Date Description Docket Date Filing Party
11/19/2010 JUD - Judgment 11/23/2010
NOTE: Notice of filing and entry provided to the parties
Case Calendar
There are no calendar events on file
Judgments
Date (F)or / (A)gainst Amount Frequency Type Status
11/19/2010 F:State Of Arizona Corporation Commission $50,000.00 One Time Principal
A: Brian Patrick Langenbach
A: Sheri Lynn Barbara Langenbach
11/19/2010 F:State Of Arizona Corporation Commission $1,519,797.00 One Time Principal
A: Brian Patrick Langenbach
A: Sheri Lynn Barbara Langenbach
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I did not say I agreed with eveything he posted.
EOM.
The criminal charges are coming. Be patient. Langenbach is in deep. He stole millions in other deals.
More BL BS. He bought up lots of stuff with stolen money and was trying to pass a scam on a small town.
They didn't go for it.
2/11/2010 2:35:00 PM
Cornville gets update on retirement living project
Jim Winstead speaks to the crowd near a three-dimentional model of the retirement structure and a map of the property. VVN/Jon Hutchinson
By Jon Hutchinson
Staff Reporter
CORNVILLE -- It was, once again, a full-house for the Cornville Community Association presentation of a development on South Aspaas Road.
More than 100 area residents gathered for the association meeting specifically to hear the plan in public. Most clearly opposed. Some became rowdy at times and President Deanna King had to ask for order.
The Association Planning and Zoning Committee had heard the plan in early November and recommended against it. A crowd also gathered at the meeting room at the Cornville fire house, but most of the public could not fit in the small room.
The association's general meeting Wednesday included a crowd sprawled out across the gymnasium at the Oak Creek School.
Brian Langenbach bought in the land in 2005-06 and Jim Winstead is a general contractor who has built other retirement projects.
Jim Winstead's presentation sounded similar to the plan presented earlier; this time, though, some significant density issues had been removed. The plan no longer shows a 9-hole golf course on 9 acres in the floodplain of Oak Creek.
The plan also no longer includes the 50-duplex casitas that formerly were proposed for the highest ground nearest South Aspaas Road. The plan also no longer includes a proposed community park on the creek side.
One acre in the flood plain would continue to be set aside as a viticulture lab for Yavapai College.
Winstead repeated his proposal for a community with 250 apartment units in a monolithic structure that would hug the cliff face, overlooking the creek. That structure would include facilities for independent living, assisted living, and Alzheimers-type patients.
Three shifts would hire 75 employees in food service, kitchen and caregivers but not skilled nursing.
Winstead told the crowd a common area would service many of the resident's needs and would provide business opportunities for Cornville residents including a beauty shop and other business kiosks. A meeting space would also accommodate local groups by appointment.
"They move to a place like this so they don't have to drive," he said.
Only one story would rise above the ground level and be visible from South Aspaas Road. That structure would occupy a small portion of the 10-acre section that is proposed to be re-zoned as a planned area development (PAD).
The structure would have underground parking, for the estimated 40 percent of residents would continue to own vehicles. A small parking lot for 35 vehicles would accommodate visitors.
The audience was not really interested in services for the patients. They were concerned about how the "rural character" of the community would be changed by a retirement living development. They objected to an expected increase in traffic, both residential and commercial. They wanted to know how the development would change driving conditions, improve the road and provide for an intersection traffic signal.
They objected to thelight pollution they said a 250-unit development would spread, saying a dark sky provision is in place to prevent glare into the surrounding community.
They objected to the volume of well water that would be needed to support the new residents. Winstead said the development must get a permit for a well and would drill deeper than local residential wells to be away from neighbors' supplies.
Others worried that effluent from wastewater would carry pharmaceuticals from the medicated patients. Landowner Brian Langenbach said they would use technology to trap pharmaceuticals and "restructure" the water to avoid those hazards. He said they would exceed required standards.
The 16 "memory care" patients will be behind a "delayed-egress" lock-down facility, so that patients may not walk away, Winstead explained.
Ånother questioner wondered about the viability and success of Winstead's past projects and whether they are still operational. He spoke of similar, but larger operating retirement homes in communities in Sun City West, the Thunderbird Retirement Resort in Glendale and on the West Coast. He is currently building two facilities, one in California.
One woman suggested that the county process had not been followed for required "neighborhood meetings." They were told that the meetings so far were not part of the county approval process and that more meetings would follow after an application is filed.
Judy Miller, who directed the writing of the Cornville Community Plan, explained that "these meetings are above and beyond what the county will also require. There are many legal requirements still ahead." She said it was good of the developers to come and explain their plans and "take this abuse."
One person questioned whether the builders would also come from Scottsdale and Gilbert. "No," said Winstead, they will be from "as close to the site as possible."
Brian Langenbach, who with partners owns the property, told the crowed that his parents already live in the Verde Valley and he was interested in preparing for their future.
Related Stories:
• Letter: Leave South Aspaas neighborhood as is
Reader Comments
Posted: Tuesday, February 16, 2010
Article comment by: Jessica Bryson
What a poorly written article! To echo the sentiments relayed by Debbie Wheaton and contrary to those put forth by Mr. Hutchinson, one of the PRIMARY concerns in opposition of this proposal should be in regards to the welfare of the patients who will be utilizing this facility. Mr. Hutchinson stated himself, the 75 employees include "no skilled nursing." So with a facility that is so far from a hospital or urgent care, I pose the question: how in the world is this situation beneficial for the patients? I could see this being as a huge liability for the facility! Speaking personally, I wouldn't DARE place my elderly loved ones in an elderly community so far from emergency care when the neccessity for such care is inevitable. It is a shame the supporters of this situation cannot see throug the shallow, self-serving intentions of a money-hungry developer, who really has NO concern for the welfare of the people he will be putting at risk.
Posted: Tuesday, February 16, 2010
Article comment by: debbie wheaton
My mother spent her last years in a wonderful assisted living facility locally. My daughter now works in the same facility. These facilities provide wonderful care and atmosphere for those that need it. I can certainly see why S. Aspaas looking over Oak Creek seems like a beautiful, tranquil place to constuct such a living space. I am wondering if the developer has considered that the people using his new facility will be a minimum of 15 minutes from the hospital or any urgent care facility in Cottonwood. People that utilize these facilities often have medical needs/problems that require attention often and quickly. Most of the assisted living facilities in Cottonwood are 1-5 minutes from the hospital. I remember how nice that was, knowing that my mother was mere moments away from emergency medical care on the several occasions that she needed it. I live in Cornville and she was usually already being seen by doctors by the time I would get to the hospital. Cornville is a nice thought for this facility, but is it practical for the well-being of the residents that would live there?
Posted: Monday, February 15, 2010
Article comment by: Jim Starkey
Interesting that one of the few comments supporting this inconsiderate project would operate similarly to the owner/developer who wouldn't give his residence or business information when asked by many. By not using their name but instead, they took the cowardly approach of identifying themselves as "love the old timers".??, then invited the project to "forget Cornflake, come to Cottonwood". Must be where they're from. Sound similar to another recent issue where supporters were mostly from outside the community?? Darn right, go to Cottonwood where it logistically belongs anyway and where I'm sure the zoning would accomodate it.
Posted: Monday, February 15, 2010
Article comment by: Jan Starkey
The crowd was anything but "rowdy". When an idea was expressed that they agreed with, there was a lot of clapping and cheering. It's unfortunate that the developers were aniticipating a crowd that they hoped would be rather ignorant. They experienced quite the opposite. A lot of neighbors who border this proposed development are very curious why the two fellows would not answer questions, either honestly or at all. Thedevelopers wouldn't have felt like they were being abused if they were prepared to better answer the questions they were asked. Be up front with folks. There were many people who supported this development and they never attended the Nov 4th meeting and they really didn't have a good idea what the County Planning and Zoning requirements are for this type of project!
Posted: Sunday, February 14, 2010
Article comment by: Larry and Alice Martin
Maybe Ms. Miller should have asked for an apology from the presenters for their vague and insulting answers and comments to the residents on this proposal. ( PROPOSAL, by the way, not a PROJECT). Instead, we are 'abusing" THEM? I'm sure they were prepaired for the ocassional moans and groans from the citizens (a far cry from "rowdy") with their shalllow and self-serving views. What do you think we were going to do, kiss them?
Posted: Saturday, February 13, 2010
Article comment by: Jan Allbright, Verde River Citizens Alliance
This is an ill-conceived project.
Placing the drinking water well at a significantly deeper depth than the near by residents insures that the prior wells will be subject to the cone of depression formed by the proposed 3,0000 GPD well.
As to the plans for wastewater treatment, the proposers were completely unable to describe said system stating that it was “proprietary” and that a “news release” about the system was pending. As to the scientific validity of “structured water”, I direct you to
http://www.chem1.com/CQ/clusqk.html and you can read for yourself.
I am a downstream resident on Aspaas and have no desire for this project.
Posted: Friday, February 12, 2010
Article comment by: Love the Old Timers
It is a privilege to have the opportunity to gain nice facilities in the community to take care of our elderly. Forget Cornflake! Come to Cottonwood!
Posted: Friday, February 12, 2010
Article comment by: Brian Phillips
This could be a good thing for the community and the economy.
Posted: Friday, February 12, 2010
Article comment by: Elaine Anderson
I am a long time resident of Cornville...I am disappointed that such a thing would even be considered for our community...I agree with all the objections raised at the meeting and would hope that this would end any prospects of continuing this invasive and unwanted project.
Did he tell you that he gave stocks on HIS MINES THAT HE DIDN'T OWN? HE DID NOT OWN THE MINES!
Yea crooks are much more reliable with their version of the facts<bg> Wait for the video proof LOL
7. In 2009, LANGENBACH purchased 10,000,000 shares of PAC stock from a large PAC shareholder and “representative” (the “PAC Insider”)
for approximately $.0 1 per share.
LANGENBACH acquired this PAC stock from the PAC Insider for the sole purpose of reselling it to raise money, in part, to fund his real estate business operations discussed further below.
[...]
9. From on or about August 2009 to October 2009, LANGENBACH sold ipproximately 2,399,150 shares of the PAC stock that he acquired from the PAC Insider
for approximately $.20 per share
for a total offering of $474,030 to 187 investors.
Jetty you wont win with these ppl, they know every thing and you know their rite cuz they get their info from the governmet and "media"
Whether they belonged to him or not he was not a registered agent. Only registered brokers can sell shares.
Also they weren't PTRZ shares. PTRZ is not Petro America Corp. PTRZ is American Southwest Music Distribution with a new symbol. The investigators have already determined that Petro America Corp never purchased ASWD/PTRZ and that anybody that said that Petro America Corp - Kansas was PTRZ was lying to you or maybe in Brian's case didn't know any better (though since he sold his shares in the fall of 2009 that doesn't seem likely - by then everybody knew).
I suggest you read the Affidavit and the latest Complaint it explains all of this very well:
http://media.kansascity.com/smedia/2010/10/22/22/Affidavit.source.prod_affiliate.81.pdf
http://viewer.zoho.com/docs/qEbjW0
While you are reading the Affidavit you will notice a section in there where Owen said that he was gifting share to anybody that asked. So you could have gotten your shares for free according to Owen Hawkins.
The original solicitations were for 100,000 for $100. Many people still got this deal through the end of 2009. Other groups had to pay either $500 or $1000 per 100,000 shares. Over 3 billion shares were gifted to people for free according to Owen Hawkins. The only people that paid more than a penny per share according to all the documentation released by investigators so far are the people that Brian Langenbach sold his shares to.
I understand you have an opinion about Brian that he is a good person. I'm not trying to dispute your opinion about him or change your opinion. I'm just stating that he broke rules and got in trouble for it. I use the terms victims because that is the term used in the regulators reports. I can't call them shareholders because the regulators have already stated that the shares were never registered or sold legally so they have absolutely no trade value and never will.
I don't know how the system works in Arizona with their Securities Commission Department. Hopefully all the restitution money that gets collected goes back to the people who paid money to Brian Langenbach for the shares and they don't keep some of it for legal fees or recovery fees. It sounds like it will all get returned assuming Brian is able to pay it all back. Consider yourself lucky if that is the case. Most of the Petro America Corp victims will only get pennies on the dollar back and some of them invested A LOT of money that they couldn't afford to lose.
What I do understand is that they belonged to him, plain and simple and he sold them for what Owen said he could.
He told us straight up that he got shares for his mines, and that he was selling them at the price Owen told him he could which was .05 less than PTRZ was trading at the time. No one was selling for .001 last August, that ship had sailed. And he went to KC to get our certificates printed and made sure we had them too.
Haven't posted here because the place is run by a bunch of bullies and it don't matter what you say, there's always someone calling the other guy a crook or a liar or worse. Well, not gonna make that mistake again. I just thought folks outta get a chance to hear the other side from someone who actually knows the guy and knows how this all went down since you asked.
I'd tell the folks you call victims that he's working to get the funds together to get everyone a refund like he promised he would. I call that integrity.
If we're victims of anyone it's those morons running Petro.
No legal escrow account was used either, some lawer! lol
If I'm nice to you, how much money will you send me?
jetty, so Brian was a victim of Petro America?;
It only took you 16 months to post your 1st time and it was worth the laugh.
Good luck.
A. Stock Securities
5. From on or about August 2009 to September 2009, LANGENBACH offered and sold unregistered stock issued by Petro America Corp. (“PAC”) within or from Arizona.
6. PAC was incorporated as a Kansas corporation on April 13, 2007. At all times relevant, PAC’s president, secretary and/or chief executive officer has been Israel Owen Hawkins (“Hawkins”). At all times relevant, PAC maintained business addresses in Kansas City, Kansas and Kansas City, Missouri. PAC stock is not registered to be offered or sold within or from Arizona.
7. In 2009, LANGENBACH purchased 10,000,000 shares of PAC stock from a large PAC shareholder and “representative” (the “PAC Insider”) for approximately $.O 1 per share. LANGENBACH acquired this PAC stock from the PAC Insider for the sole purpose of reselling it to raise money, in part, to fund his real estate business operations discussed further below.
8. At all times relevant, PAC’s website at www.petroamericacorp.com stated that PAC s the “PEOPLE’S COMPANY” with “WORLD SUCCESS UNRIVALED.” At all times relevant, the “welcome” page of the PAC website stated that PAC’s “goal is to be the premier global crude Iil marketer and energy arbitrageur” and that it “engages in shared production agreements for exploration, production, and marketing in the upstream and downstream energy sectors.”
9. From on or about August 2009 to October 2009, LANGENBACH sold ipproximately 2,399,150 shares of the PAC stock that he acquired from the PAC Insider for approximately $.20 per share for a total offering of $474,030 to 187 investors.
10. LANGENBACH caused PAC stock investor money to be deposited and/or wired nto Arizona bank accounts owned and controlled by LANGENBACH.
http://images.edocket.azcc.gov/docketpdf/0000119336.pdf
You do understand that the shares he sold you and others were unregistered and he was selling them to you for way more than what he paid for them right? And that Brian was not a registered agent therefore he had no legal right to even be able to sell shares.
If he is so generous why didn't he just sell you the shares for the same price he got them for? Or tell you where you could buy shares for just $.001 a piece? The reason why is because he was using the profits to pay off other business expenses. You should read the report from the Arizona Securities Commission.
http://images.edocket.azcc.gov/docketpdf/0000119336.pdf
He might be a generous person and I do hope you get all your money back, but it doesn't change the facts from the case.
Also for the record I have talked to others who Brian sold share to and they have a way different opinion of Brian than you do.
Well, nobody's stepping up so I guess I'll take a swing.
I've known Lagenbach for a few years now. Spent quite a bit of time with him, got to know him pretty good. He's the kind of guy that trys to swipe the bill at lunch so you can't pay. He is generous almost to a fault. The kind of guy that looks at the world as an oyster and accepts the fact you got a crack a few open to find a pearl and you might cut yourself in the process.
I'm one of those folks you call a victim. Put a few bucks into Petro with him. You know, he told all of us from the beginning that bought from him that if Petro didn't trade that he would make sure we all got a refund. He didn't try to sell us and was upfront about the problems they had in the past with the cease and desist and what not. Wehn folks started making outlandish claims that Petro would trade at 10 or more, he told us that wasn't feasible. Well, the thing has dragged on and on and about end of March or beginning of April he told me he was done with Petro, couldn't get a straight answer out of Owen, same old 2 week dance, and he set about getting the funds together to pay us all back. Coming up with that kind of cash in this economy isn't easy.
Then some lady who's had a beef with him for years and is currently under investigation for insurance fraud herself called the ACC and they stuck their nose in this business which caused some major delays and cost him a pile of cash. So now he's got a full year to give the state money which they will most likely take a piece of and we'll get whatever is left over. He still says he's going to try to do it sooner rather than later, but the cash he spent on the attorney wasn't chump chage.
Brian was going to give us a refund and let us keep the stock in case it actually did trade some time in the future.
State is probably giving us less than what we invested and taking our stock back. So yeah, guess I'm a vitim of govt interference. Nobody asked me if I wanted the state to manage my refund.
I've met a whole lot of folks who have known him for years. He's got people he grew up with that are still friends. A guy doesn't have friends for years that continue to do biz with him if he's a crook. I also know a whole bunch of the folks, probably 50 or so who bought shares from him. None of them blame him cuz he was upfront with all of us. Most are just fed up with the KC crouwd and the nonsense coming out of that place. Others aren't even paying attention, when something happens it happens.
See, I know the story about how he got jammed up. He had an attny, thought he was doing stuff right, found out after it was done that it wasn't. Guy isn't a crook if they try to do stuff the right way but mistakes are made.
Well, that's my 2 cents since you asked.
Many obscure traders play the greys looking for bounce plays; since this is going sub penny soon, back to where it started. It has nothing to do with Petro America really, it's still the ASWD shell and compnay, on the symbol changed to fool the masses.
Harley
This is the company Owen bought to fool the investors into believing that Petro was trading. However, the shareholders couldn't sell, or trade their Petro Kansas shares. So at this point it's just an empty shell, with very little activity. I personally think it won't be long before it's a "belly up" company, because so many taxes needs to be paid, that are unpaid. I think that's around April of 2011.....if the over $300,000.00 in taxes aren't paid...they will probably be history.
Hi JPA, glad you dropped by....Yes, lots of news since you last posted....the video was funny to say the least....lol....unfortunately, it didn't turn some of us nayfayers over...we're still calling it what it's always been...a scam...just hope the evil doers will go to jail for awhile.
Just checking in...wanted to see how the scam was doing....what's that?...Mr. Hawkins(Teresa Brown,Martin Roper,Johnny Heurung, etc) aren't really the people everyone thought they thought they were or weren't or whatever?....glad to see the scam is finally starting to unravel. I guess Owen and the crew could only keep "the people's company" at bay for so long with their non-informative and misleading weekly conference calls. I hope it was all worth it for the people who reaped the benfits of this con. It must be nice to live off of other people's money. At least you could do is say "thanks", God forbid you'd say you were sorry, but then again we already know that about you, don't we. It's amazing how the truth seems to find its way to the surface all on its own. I hope everyone enjoys their incarceration.
On a lighter note: The recent Q & A youtube video of PAC investors is classic. I haven't laughed that hard since I saw Petro's solicitation email from 2 yrs ago. Such polished production material should be the envy of all Fortune 500 companies. An investor(???) waving around a pile of papers and folders should be enough to convince even the staunchest non-believer that "we for real(or is it Isreal?)!" I didn't realize that asset verification could be done via video! Never has been verifying $200+ billion in assets so easy. Some good stuff right there! There really should be no naysayers after this, for sure.
Are you saying you believe that Brian Langenbach broke the law in ignorance? Are you sure you read the complaint against Brian?
Why don't you stand in front of one of the victims that Brian took hundreds of thousands of dollars from who will be lucky to see most of that money returned and defend Brian in front of them.
Just out of curiosity why are you defending Brian Langenbach and his actions?
As far as further charges they just got done charging Teresa Brown and Johnny Heurung less than a week ago. They have said many times that more charges could be pending and more individuals could be charged.
Those are some a very interesting point yous bring up in your point. Full of true facts on what happened and why. No opinions or hear say.
Thank you.
That was a well written post, and I understand what you are saying, but $1.5 million in restitution plus $50,000 in fines plus having a permanent record that people will forever be able to see (the fraud and other issues) is a far cry from not wanting to go through the hassle of showing up in court to fight a speeding ticket. And just for the record Brian Langenbach was given an opportunity for a hearing and 30 days to accept that opportunity. Brian chose to forgo the hearing. Just because he opted not to fight the charges doesn't mean he isn't guilty. In this case it meant that he didn't object to the charges. I get what you are saying about Brian neither admitting or denying the Findings of Fact, but I personally believe that it is as simple as Brian broke some laws and therefore he is guilty.
No the case wasn't heard by a judge. I don't think even if Brian had opted for a hearing that a judge would have been involved. Brian wasn't facing criminal charges he was facing charges by the state of Arizona Securities Commission which regulates business practices in the state of Arizona. Now if somebody who he sold the unregistered securities to decides to sue Brian then that would be handled in a Civil Courtroom in front of a Judge. And if the US Attorney decides to charge Brian Langenbach with a crime (like they have already with Owen Hawkins, Teresa Brown, Johnny Heurung, and Clarence Moore) then that too would be handled in a courtroom in front of a judge.
If there wasn't an active investigation into Petro America Corp I'd agree with you that he will most likely not face any further legal issues, but considering the attention Petro America Corp has gotten from other agencies and Brian's obvious involvement in Petro America Corp, I actually wouldn't be too surprised to see him face charges down the road.
Here is a copy of the Notice of Opportunity For Hearing Regarding Proposed Order to Cease and Desist, Order For Restitution, Order For Administrative Penalties and Order For Other Affirmative Action that was served to Brian Langenbach:
http://images.edocket.azcc.gov/docketpdf/0000118363.pdf
Isreal Owen Hawkins Jr. made the Forbes list for top 10 Biggest CEO screw-ups of 2010:
http://www.forbes.com/2010/11/30/ceo-screw-ups-leadership-managing-2010_slide.html
10. Cary Fiorina, Hewlett-Packard
California senate candidate and former Hewlett-Packard Chief Executive Carly Fiorina was prepping for a TV interview when a live microphone caught her mocking opponent Barbara Boxer's hair: "God, what is that hair? So yesterday!" Fiorina would likely have lost her election bid anyway, but that comment sure didn't help.
9. Linda McMahon, World Wrestling Entertainment
Connecticut gubernatorial candidate Linda McMahon, who once ran World Wrestling Entertainment, admitted that she didn't know whether WWE paid any of its employees minimum wage, or even what Connecticut's minimum wage was. She lost her election too.
8. Michael Lyon, Lyon Real Estate
The FBI began investigating Michael Lyon, the now ex-chief executive of Lyon Real Estate in Sacramento, Calif., as he was undergoing a messy divorce from his second wife. Lyon had allegedly secretly recorded people in his homes. In August the U.S. attorney's office announced it was closing its 16-month long probe, citing a lack of evidence. But the Sacramento County sheriff's and district attorney's offices decided to pick up where the Feds left off, launching their own investigation to determine whether he had broken any state laws. In late August Lyon announced that he was temporarily stepping down from the top spot at the company, which his father founded in 1946, and in November he was arrested for allegedly making surreptitious videos of sex acts with women, at least one of them an "escort," in his home. He is currently free on bail.
7. Jon Latorella, Locateplus
Sleuthing is encouraged at Locateplus, a Beverly, Mass., outfit that provides access to all kinds of public data, like real estate and telephone records. Earlier this month Jon Latorella, the company's now-ex CEO, was indicted on charges of securities fraud, filing false statements to the company's auditor and the Securities and Exchange Commission, aggravated theft and other charges. The indictment alleges that Latorella and his former CFO carried out several fraudulent schemes in order to artificially inflate the company's revenues. The most bizarre charge against the duo is that they used the identity of someone who died in 1985 to invent both a business executive who worked with Locateplus and an investor in a company the two men controlled. The two haven't yet had an initial court appearance. Of course they must be presumed innocent until found guilty, but just bringing on such an indictment has to be considered a major screw-up.
6. Isreal Owen Hawkins Jr., Petro America
In October the federal government charged Isreal Owen Hawkins with securities fraud, claiming the Petro America chief executive knowingly sold unregistered securities to investors and aided and abetted the sale of the unregistered stock. Federal prosecutors also charged Hawkins with "aggravated currency structuring," which involves hiding large cash withdrawals from regulators. Hawkins has pleaded not guilty to each count of the indictment.
5. Gary Holden, Enmax
Earlier this month Gary Holden, the chief executive of Enmax, a Canadian energy supplier, sent a five-page e-mail to his entire staff defending his salary and criticizing the media for how it characterized extravagant parties at his home. In the letter a paranoid-sounding Holden warned his employees not to leak material to the press. Which, of course, is exactly what they did.
4. Lei Jin, GeneScience Pharmaceutical
In October Lei Jin, the chief executive of GeneScience Pharmaceutical, a Chinese drug manufacturer, pleaded guilty to charges of illegally marketing human growth hormones in the United States. As a result of the charges, Jin and the company jointly forfeited $4.5 million in assets and will pay an additional $3 million to fund anti-sports-doping efforts. Jin, through GeneScience, used the Internet to market human growth hormone under the company's brand name, Jintropin. He did so without obtaining approval from the Food and Drug Administration to market the drug in the U.S, where it's legally available only through a doctor's prescription.
3. Timothy Huff, GlobeTel Communications
Timothy Huff ran GlobeTel Communications, a telecom business in Fort Lauderdale, Fla. In July he was sentenced to 50 months in prison followed by three years of supervised release after pleading guilty to charges of conspiracy to commit securities fraud and to defraud the U.S., the Treasury Department and the Internal Revenue Service. For three years beginning in 2002, Huff conspired with GlobeTel's chief financial officer to create fake revenue, and then reported that revenue on the company's books and in its SEC filings. Huff and his CFO fabricated invoices and documents to back up the fictitious revenue the company was reporting. Thomas Jimenez, the CFO, pleaded guilty and is serving a sentence.
2. Mark Hurd, Hewlett-Packard
Bogus expense records--and, presumably, the threat of a PR disaster--led to Mark Hurd's forced resignation from Hewlett-Packard. HP's board ousted Hurd in August after claiming that he filed inaccurate expense reports that covered payments he had made to a female contractor. The woman's lawyer had contacted HP in June, charging Hurd with sexual harassment. Directors discovered the expense reports while investigating that charge, and then pressed Hurd to step down.
1. Tony Hayward, BP
BP chief executive Tony Hayward displayed a shocking lack of empathy--and a propensity for public gaffes--while the Deepwater Horizon rig was spilling millions of barrels of oil into the Gulf of Mexico. Hayward told The Guardian newspaper that the Gulf is a "very big ocean" and later described the spill's environmental impact as "very, very modest." He famously told the Today show that he'd "like my life back," and he attended a regatta on the Isle of Wight two days after a U.S. congressional committee questioned him. That all earns him the No. 1 spot among CEO screw-ups of 2010.
And what does this have to do with Petro Kansas, the supposed PRIVATE company? TIA
Harley
And besides, they are only their opinions, too...nothing shown in this video shows proof Petro is real....this video is rediculous.
lol well first of all the only ones that can be labeled crooks are the ones that have been found guilty of breaking laws already which would only qualify 3 people - Owen Hawkins and Martin Roper have been found guilty already by the state of Missouri back in 2008. The third person would be Brian Langenbach who was found guilty already by the state of Arizona.
I don't have a picture of Brian Langenbach, but I could show you a picture of Hawkins and Roper if you'd like.
Johnny Heurung, Teresa Brown, and Clarence Moore have been Indicted, but not found guilty of anything yet. I believe that time will come. I don't have a picture of Teresa Brown or Clarence Moore. Sorry.
Yes, I’m curious to see what some of these crooks look like too…let’s see more mug shots…
Let's see pix of the other crooks. You must be able to get them too.
anyone know where we can see a picture of what Johnny looks like?
Looks like the beginning of the end for the crooks.
Justice will be served in Kansas and AZ and everywhere else they stole from people.
11/22/2010 19 Minute Entry for proceedings held before Magistrate Judge Sarah W. Hays: INITIAL APPEARANCE, ARRAIGNMENT, and BOND HEARING as to Isreal Owen Hawkins Jr (1) Count 1,2,3,4,5-6 held on 11/22/2010......
Doc 19 PDF file
http://viewer.zoho.com/docs/k02mg
Pacer update 24 Nov 10 USA v Hawkins CRIMINAL COMPLAINT Case Number: 4:10-cr-00332-ODS All Defendants
Date Filed # Docket Text
11/24/2010 23 NOTICE OF HEARING as to Teresa Brown. This is the official notice for this hearing. Initial Appearance and Arraignment set for 12/8/2010 01:30 PM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays. Signed on 11/24/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) (Entered: 11/24/2010)
11/24/2010 22 AMENDED NOTICE OF HEARING as to Isreal Owen Hawkins, Jr. This is the official notice for this hearing. Show Cause Hearing reset for 12/6/2010 02:30 PM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays. Per the request of defense counsel. Signed on 11/24/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) (Entered: 11/24/2010)
11/23/2010 21 DISCOVERY ORDER as to Isreal Owen Hawkins, Jr, Teresa Brown, Johnny Heurung, Clarence D Moore. Signed on 11/23/2010 by Magistrate Judge Sarah W. Hays.(Gicinto, JoRita) (Entered: 11/23/2010)
11/22/2010 20 ORDER SETTING SCHEDULING CONFERENCE as to Isreal Owen Hawkins, Jr. Scheduling Conference set for 12/16/2010 11:30 AM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays., Show Cause Hearing set for 11/29/2010 02:30 PM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays. Signed on 11/22/10 by Magistrate Judge Sarah W. Hays.(Carr, Lori) (Entered: 11/22/2010)
11/22/2010 19 Minute Entry for proceedings held before Magistrate Judge Sarah W. Hays: INITIAL APPEARANCE, ARRAIGNMENT, and BOND HEARING as to Isreal Owen Hawkins Jr (1) Count 1,2,3,4,5-6 held on 11/22/2010. Defendant charged in Count(s) 1-6 of a 14 Count indictment. Defendant waived reading of the indictment. Defendant was informed of the maximum punishment for each applicable count of theindictment. Defendant entered a plea of not guilty to each count of the indictment applicable to him/her. On 10/27/10, the court entered an order appointing the federal public defenders office. The defendant was to provide a complete list of income and assets to Pretrial Services and also to defense counsel. Mr. Moss was to complete and file, under seal, a financial affidavit incorporating defendants income and assets. To date, such filing as not beenmade. Mr. Moss indicated he will do so within the week. The court takes up the defendants request for new counsel, ex parte, and out of the presence of the government and the public. The court denies defendants request. Mr. Moss will remain as court-appointed counsel. Court summarizes the Pretrial Services violation report dated 11/19/10. Government presents argument and orally moves for pretrial detention. Defense counsel requests a continuance of this hearing as he has not had adequate time to prepare. The Government then provides defendant with a copy of the audiotape of the telephone call referenced inthe violation report. The Court grants defendants oral motion and continues the hearing until Monday, November 29, 2010 at 2:30 p.m in Courtroom 6E before Magistrate Judge Hays. Based on the information before the Court, the Court revokes defendants bond and remands defendant to the custody of the U.S. Marshal pending outcome of the show cause hearing. Case ordered set for trial on the joint criminal jury trial docket which commences January 10, 2011.Scheduling Conference set for 12/16/2010 11:30 AM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays., Show Cause Hearing set for 11/29/2010 02:30 PM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays. To order a transcript of this hearing please contact Lori Carr, 816-512-5064. (Carr, Lori) (Entered: 11/22/2010)
11/22/2010 18 ORDER REFERRING CASE to Magistrate Judge Hays as to Isreal Owen Hawkins, Jr, Teresa Brown, Johnny Heurung, Clarence D Moore. Signed on 11/22/10 by District Judge Ortrie D. Smith.(Beard, Melanie) (Entered: 11/22/2010)
U.S. District Court
Western District of Missouri (Kansas City)
CRIMINAL DOCKET FOR CASE #: 4:10-cr-00332-ODS All Defendants
Case title: USA v. Hawkins et al
Magistrate judge case number: 4:10-mj-00171-SWH
Date Filed: 11/22/2010
Assigned to: District Judge Ortrie D. Smith
Referred to: Magistrate Judge Sarah W. Hays
4:10-cr-00332-ODS USA v. Hawkins et al
4:10-cr-00332-ODS-1 Isreal Owen Hawkins, Jr
4:10-cr-00332-ODS-2 Teresa Brown
4:10-cr-00332-ODS-3 Johnny Heurung
4:10-cr-00332-ODS-4 Clarence D Moore
Defendant (1)
Isreal Owen Hawkins, Jr
represented by FPD
Federal Public Defender
818 Grand Boulevard
Suite 300
Kansas City, MO 64106
(816) 471-8282
Email: ray_conrad@fd.org
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Designation: Public Defender or Community Defender Appointment
Stephen C Moss
Federal Public Defender's Office
818 Grand Ave
Ste 300
Kansas City, MO 64106
816-471-8282
Fax: 816-471-8008
Email: steve_moss@fd.org
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Designation: Public Defender or Community Defender Appointment
Pending Counts
CONSPIRACY
(1)
SECURITIES FRAUD
(2)
AGGRAVATED CURRENCY STRUCTURING
(3)
MONEY LAUNDERING
(4)
WIRE FRAUD
(5-6)
Highest Offense Level (Opening)
Felony
Complaints
Defendant willfully and knowingly used the means and instruments of transportation and communication in interstate commerce and of the mails to sell, offer to sell, and to aid and abet the sale of a security, as defined in Title 15 of the USC, as to which no registration statement was in effect or filed, and further knew that no registration statement was in effect for the offers and sales of the security at the time of the offers for sale and sales; in violation of Title 15, USC, Sections 77e(a), 77e(c), 77x and Title 18, USC, Section 2; and for the purpose of evading the reporting requirements of Title 31 USC, Sections 5313 (a) and 5325 and any regulation prescribed under any such section, the reporting or recordkeeping requirements imposed by any order issued under Title 31, USC, Section 5326, and the recordkeeping requirements imposed by any regulation prescribed under section 21 of the Federal Deposit Insurance Act or section 123 of Public Law 91508, as part of a pattern of illegal activity involving more than $100,000 in a 12-month period, knowingly and willfully structured and assisted in structuring, and attempted to structure and assist in structuring, and caused and aided and abetted the structuring, of transactions with one or more domestic financial institutions in Kansas City, Western District of Missouri, with all monies originating from a $180,000 March 16, 2010 wire transfer from J.P. Morgan Chase account in violation of Title 31, USC, Sections 5324(a)(3) and (d)(2), and Title 18, USC, Section 2.
Defendant (2)
Teresa Brown
Pending Counts
CONSPIRACY
(1)
SECURITIES FRAUD
(2)
WIRE FRAUD
(7-12)
Highest Offense Level (Opening)
Felony
Defendant (3)
Johnny Heurung
Pending Counts
CONSPIRACY
(1)
WIRE FRAUD
(13-14)
Highest Offense Level (Opening)
Felony
Defendant (4)
Clarence D Moore
Pending Counts
CONSPIRACY
(1)
Highest Offense Level (Opening)
Felony
https://ecf.mowd.uscourts.gov/cgi-bin/iquery.pl
I definitely am right about the law catching up with them. I know for a fact what is going on. They will not be cheating people the rest of their lives.
I don't know. I did notice that Marcia Parker and Larry Contier were named by their initials in the Indictment today. Not sure what the significance of that was because anybody else talked about in the Indictment besides the 4 people facing charges were not mentioned by name or initials.
There could be more people charged in the future and more charges added for the people already facing charges. I think this is far from over.
I was reading just yesterday how Bernie Madoff's secretary and another former employee were just charged - 2 years after Madoff was - so this investigation for Petro America Corp will probably continue to go on for a long time and new people could face charges several months down the road.
So happy about these new charges but WHAT ABOUT MARCIA PARKER? She cashed out money almost daily...they got to get her-that would make my day...
Thank you for all those!
I also posted them over on the Petro America Corp - Kansas board also
All the readers appreciate the updated information and thank you too
11/16/2010 14 LETTER from Isreal Owen Hawkins -requesting for new counsel and to modify bond (Attachments: # 1 resigned as CEO) (Gicinto, JoRita) [4:10-mj-00171-SWH] (Entered: 11/16/2010)
Doc 14 PDF file
http://viewer.zoho.com/docs/kXick
Doc 14-1 PDF file
http://viewer.zoho.com/docs/hXlri
11/22/2010 16 INDICTMENT as to Isreal Owen Hawkins, Jr (1) count(s) 1, 2, 3, 4, 5-6, Teresa Brown (2) count(s) 1, 2, 7-12, Johnny Heurung (3) count(s) 1, 13-14, Clarence D Moore (4) count(s) 1. (Attachments: # 1 Criminal Cover Sheet Dft 1, # 2 Criminal Cover Sheet Dft 2, # 3 Criminal Cover Sheet Dft 3, # 4 Criminal Cover Sheet Dft 4) (Beard, Melanie) (Entered: 11/22/2010)
Doc 16 PDF file
http://viewer.zoho.com/docs/qEbjW0
Document Number: 16 40 pages 179 kb
Attachment Description
1 Criminal Cover Sheet Dft 1 1 page 47 kb
2 Criminal Cover Sheet Dft 2 1 page 46 kb
3 Criminal Cover Sheet Dft 3 1 page 46 kb
4 Criminal Cover Sheet Dft 4 1 page 46 kb
COUNT ONE: CONSPIRACY
All Defendants
18 U.S.C. § 371
NMT: 5 Years Imprisonment
NMT: $250,000 Fine
NMT: 3 Years Supervised Release
Class D Felony
COUNT TWO: SECURITIES FRAUD
Defendants Brown and Hawkins
15 U.S.C. § 77q and 18 U.S.C. § 2
NMT: 5 Years Imprisonment
NMT: $250,000 Fine
NMT: 3 Years Supervised Release
Class D Felony
COUNT THREE: AGGRAVATED CURRENCY
STRUCTURING
Defendant Hawkins
31 U.S.C. §§ 5324(a) & (d)(2); & 18 U.S.C. § 2
NMT 10 Years Imprisonment
NMT $500,000 Fine
NMT 3 Years Supervised Release
Class C Felony
COUNT FOUR: MONEY LAUNDERING
Defendant Hawkins
18 U.S.C. §§ 1957 and 2
NMT 10 Years Imprisonment
NMT $250,000 Fine
NMT 3 years Supervised Release
Class C Felony
COUNTS FIVE THROUGH FOURTEEN:
WIRE FRAUD
Defendant Brown: 18 U.S.C. §§ 1343 and 2
Defendants Hawkins and Heurung: 18 U.S.C. § 1343
NMT: 20 Years Imprisonment
NMT: $250,000 Fine
NMT: 3 Years Supervised Release
Class C Felony
$100 Mandatory Special Assessment per Count
Forfeiture Allegation
28 U.S.C. § 2461(c) and 21 U.S.C. § 853
Order of Restitution
Pacer update 22 Nov 10 USA v Hawkins CRIMINAL COMPLAINT Case Number: 4:10-cr-00332-ODS All Defendants
Date filed: 11/22/2010
Date of last filing: 11/22/2010
U.S. District Court
Western District of Missouri (Kansas City)
CRIMINAL DOCKET FOR CASE #: 4:10-cr-00332-ODS All Defendants
Case title: USA v. Hawkins et al
Magistrate judge case number: 4:10-mj-00171-SWH
Date Filed: 11/22/2010
Assigned to: District Judge Ortrie D. Smith
Referred to: Magistrate Judge Sarah W. Hays
4:10-cr-00332-ODS USA v. Hawkins et al
4:10-cr-00332-ODS-1 Isreal Owen Hawkins, Jr
4:10-cr-00332-ODS-2 Teresa Brown
4:10-cr-00332-ODS-3 Johnny Heurung
4:10-cr-00332-ODS-4 Clarence D Moore
Defendant (1)
Isreal Owen Hawkins, Jr
represented by FPD
Federal Public Defender
818 Grand Boulevard
Suite 300
Kansas City, MO 64106
(816) 471-8282
Email: ray_conrad@fd.org
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Designation: Public Defender or Community Defender Appointment
Stephen C Moss
Federal Public Defender's Office
818 Grand Ave
Ste 300
Kansas City, MO 64106
816-471-8282
Fax: 816-471-8008
Email: steve_moss@fd.org
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Designation: Public Defender or Community Defender Appointment
Pending Counts
CONSPIRACY
(1)
SECURITIES FRAUD
(2)
AGGRAVATED CURRENCY STRUCTURING
(3)
MONEY LAUNDERING
(4)
WIRE FRAUD
(5-6)
Highest Offense Level (Opening)
Felony
Complaints
Defendant willfully and knowingly used the means and instruments of transportation and communication in interstate commerce and of the mails to sell, offer to sell, and to aid and abet the sale of a security, as defined in Title 15 of the USC, as to which no registration statement was in effect or filed, and further knew that no registration statement was in effect for the offers and sales of the security at the time of the offers for sale and sales; in violation of Title 15, USC, Sections 77e(a), 77e(c), 77x and Title 18, USC, Section 2; and for the purpose of evading the reporting requirements of Title 31 USC, Sections 5313 (a) and 5325 and any regulation prescribed under any such section, the reporting or recordkeeping requirements imposed by any order issued under Title 31, USC, Section 5326, and the recordkeeping requirements imposed by any regulation prescribed under section 21 of the Federal Deposit Insurance Act or section 123 of Public Law 91508, as part of a pattern of illegal activity involving more than $100,000 in a 12-month period, knowingly and willfully structured and assisted in structuring, and attempted to structure and assist in structuring, and caused and aided and abetted the structuring, of transactions with one or more domestic financial institutions in Kansas City, Western District of Missouri, with all monies originating from a $180,000 March 16, 2010 wire transfer from J.P. Morgan Chase account in violation of Title 31, USC, Sections 5324(a)(3) and (d)(2), and Title 18, USC, Section 2.
Defendant (2)
Teresa Brown
Pending Counts
CONSPIRACY
(1)
SECURITIES FRAUD
(2)
WIRE FRAUD
(7-12)
Highest Offense Level (Opening)
Felony
Defendant (3)
Johnny Heurung
Pending Counts
CONSPIRACY
(1)
WIRE FRAUD
(13-14)
Highest Offense Level (Opening)
Felony
Defendant (4)
Clarence D Moore
Pending Counts
CONSPIRACY
(1)
Highest Offense Level (Opening)
Felony
Date Filed # Docket Text
11/22/2010 REASSIGNED CRIMINAL CASE to District Judge Ortrie D. Smith for all further proceedings as to Isreal Owen Hawkins, Jr., Teresa Brown, Johnny Heurung, Clarence D Moore. District Judge Scott O. Wright no longer assigned to case. This is a TEXT ONLY ENTRY. No document is attached.(Beard, Melanie) (Entered: 11/22/2010)
11/22/2010 17 ORDER REASSIGNING CASE as to Isreal Owen Hawkins, Jr, Teresa Brown, Johnny Heurung, Clarence D Moore. I hereby recuse myself from the above-captioned case. The Clerk of Court shall reassign the case by random draw. District Judge Scott O. Wright no longer assigned to case.. Signed on 11/22/2010 by District Judge Scott O. Wright.(Gicinto, JoRita) (Entered: 11/22/2010)
11/22/2010 16 INDICTMENT as to Isreal Owen Hawkins, Jr (1) count(s) 1, 2, 3, 4, 5-6, Teresa Brown (2) count(s) 1, 2, 7-12, Johnny Heurung (3) count(s) 1, 13-14, Clarence D Moore (4) count(s) 1. (Attachments: # 1 Criminal Cover Sheet Dft 1, # 2 Criminal Cover Sheet Dft 2, # 3 Criminal Cover Sheet Dft 3, # 4 Criminal Cover Sheet Dft 4) (Beard, Melanie) (Entered: 11/22/2010)
11/16/2010 14 LETTER from Isreal Owen Hawkins -requesting for new counsel and to modify bond (Attachments: # 1 resigned as CEO) (Gicinto, JoRita) [4:10-mj-00171-SWH] (Entered: 11/16/2010)
11/05/2010 13 ORAL ORDER as to Isreal Owen Hawkins: 12 MOTION to continue preliminary hearing to November 22, 2010 filed by Isreal Owen Hawkins IS GRANTED. Preliminary Hearing reset for 11/22/2010 01:30 PM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays.. Signed on 11/5/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) [4:10-mj-00171-SWH] (Entered: 11/05/2010)
11/05/2010 12 MOTION to continue preliminary hearing to November 22, 2010 by Isreal Owen Hawkins. Suggestions in opposition/response due by 11/22/2010 unless otherwise directed by the court. (Attachments: # 1 Affidavit)(Moss, Stephen) (Attachment 1 replaced on 11/5/2010) (Gicinto, JoRita). [4:10-mj-00171-SWH] (Entered: 11/05/2010)
11/02/2010 10 AMENDED NOTICE OF HEARING as to Isreal Owen Hawkins. This is the official notice for this hearing. Preliminary Hearing reset for 11/9/2010 10:00 AM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays.. Signed on 11/2/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) [4:10-mj-00171-SWH] (Entered: 11/02/2010)
11/02/2010 9 NOTICE OF HEARING as to Isreal Owen Hawkins. This is the official notice for this hearing. Preliminary Hearing set for 11/4/2010 02:00 PM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays. The time of the hearing is the only change. Signed on 11/2/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) [4:10-mj-00171-SWH] (Entered: 11/02/2010)
11/01/2010 11 ORDER setting conditions of release and Addendum to Order Setting Conditions of Release as to Isreal Owen Hawkins. Defendant released on a cash bond. Bond posted in the amount of $50,000.00. This document contains original signatures of non attorneys and is being maintained in a paper file at the court.. Signed on 11/1/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) [4:10-mj-00171-SWH] (Entered: 11/03/2010)
11/01/2010 8 Minute Entry for proceedings held before Magistrate Judge Sarah W. Hays: BOND HEARING as to Isreal Owen Hawkins held on 11/1/2010. Parties present in person with counsel. The Court had previously taken the issue ofdetention under advisement pending the determination of court-appointed counsel and until the defendant had met w/Pretrial Services in order to provide the financial information. Defendant has met the bond conditions as modified by the Court on set out on 10/29/2010 (doc #7). The Court reads conditions of release with defendant. Financial affidavit to be completed and filed under seal. Further, after having determined the appointment of counsel, Court sets Preliminary Hearing for 11/4/2010 at 10:00 a.m. in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays. To order a transcript of this hearing please contact Joella Baldwin, 816-512-5052. (Baldwin, Joella) [4:10-mj-00171-SWH] (Entered: 11/01/2010)
10/29/2010 7 ORDER as to Isreal Owen Hawkins - United States Marshals Service is authorizedto release the defendant from the Lafayette County Jail as of todays date.. Signed on 10/29/2010 by Magistrate Judge Sarah W. Hays.(Gicinto, JoRita) [4:10-mj-00171-SWH] (Entered: 10/29/2010)
10/29/2010 ***Remark as to Isreal Owen Hawkins: Surety Bond issued by International Fidelidy Insurance Company in the amount of $50,000 received in clerks office. (Martin, Jan) [4:10-mj-00171-SWH] (Entered: 10/29/2010)
10/29/2010 6 NOTICE OF HEARING as to Isreal Owen Hawkins. This is the official notice for this hearing. Bond/Conditions of Release Hearing set for 11/1/2010 10:00 AM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays.. Signed on 10/29/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) [4:10-mj-00171-SWH] (Entered: 10/29/2010)
10/28/2010 5 ORDER as to Isreal Owen Hawkins - Re: Bond and Conditions of Release set by the Court. Signed on 10/28/2010 by Magistrate Judge Sarah W. Hays.(Gicinto, JoRita) [4:10-mj-00171-SWH] (Entered: 10/28/2010)
10/28/2010 4 NOTICE OF HEARING as to Isreal Owen Hawkins. This is the official notice for this hearing. Preliminary Hearing set for 11/4/2010 10:00 AM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays.. Signed on 10/28/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) [4:10-mj-00171-SWH] (Entered: 10/28/2010)
10/27/2010 3 ORDER APPOINTING FEDERAL PUBLIC DEFENDER as to Isreal Owen Hawkins. Signed on 10/27/2010 by Magistrate Judge Sarah W. Hays.(Baldwin, Joella) [4:10-mj-00171-SWH] (Entered: 10/28/2010)
10/27/2010 2 Minute Entry for proceedings held before Magistrate Judge Sarah W. Hays: INITIAL APPEARANCE as to Isreal Owen Hawkins held on 10/27/2010. Appointment of counsel to be determined based on information provided to Pretrial Services. Court sets bond in the amount of $25,000 to be signed by defendant and court-approved co-signer; defendant remanded to USM until conditions are met. Preliminary examination hearing to be set at a later date. To order a transcript of this hearing please contact Joella Baldwin, 816-512-5052. (Baldwin, Joella) [4:10-mj-00171-SWH] (Entered: 10/28/2010)
10/27/2010 ARREST of Isreal Owen Hawkins (Baldwin, Joella) [4:10-mj-00171-SWH] (Entered: 10/28/2010)
10/26/2010 1 COMPLAINT as to Isreal Owen Hawkins (1). (Attachments: # 1 Affidavit) (McDowell, Shelly) [4:10-mj-00171-SWH] (Entered: 10/27/2010)
https://ecf.mowd.uscourts.gov/cgi-bin/iquery.pl
Pacer update 22 Nov 10 USA v Hawkins CRIMINAL COMPLAINT Case Number: 10-0171SWH-01
U.S. District Court
Western District of Missouri (Kansas City)
CRIMINAL DOCKET FOR CASE #: 4:10-mj-00171-SWH-1
Case title: USA v. Hawkins-INDICTMENT FILED-10-00332-CR-W-SOW
Date Filed: 10/26/2010
Defendant (1)
Isreal Owen Hawkins
represented by FPD
Federal Public Defender
818 Grand Boulevard
Suite 300
Kansas City, MO 64106
(816) 471-8282
Email: ray_conrad@fd.org
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Designation: Public Defender or Community Defender Appointment
Stephen C Moss
Federal Public Defender's Office
818 Grand Ave
Ste 300
Kansas City, MO 64106
816-471-8282
Fax: 816-471-8008
Email: steve_moss@fd.org
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Designation: Public Defender or Community Defender Appointment
Complaints
Defendant willfully and knowingly used the means and instruments of transportation and communication in interstate commerce and of the mails to sell, offer to sell, and to aid and abet the sale of a security, as defined in Title 15 of the USC, as to which no registration statement was in effect or filed, and further knew that no registration statement was in effect for the offers and sales of the security at the time of the offers for sale and sales; in violation of Title 15, USC, Sections 77e(a), 77e(c), 77x and Title 18, USC, Section 2; and for the purpose of evading the reporting requirements of Title 31 USC, Sections 5313 (a) and 5325 and any regulation prescribed under any such section, the reporting or recordkeeping requirements imposed by any order issued under Title 31, USC, Section 5326, and the recordkeeping requirements imposed by any regulation prescribed under section 21 of the Federal Deposit Insurance Act or section 123 of Public Law 91508, as part of a pattern of illegal activity involving more than $100,000 in a 12-month period, knowingly and willfully structured and assisted in structuring, and attempted to structure and assist in structuring, and caused and aided and abetted the structuring, of transactions with one or more domestic financial institutions in Kansas City, Western District of Missouri, with all monies originating from a $180,000 March 16, 2010 wire transfer from J.P. Morgan Chase account in violation of Title 31, USC, Sections 5324(a)(3) and (d)(2), and Title 18, USC, Section 2.
Plaintiff
USA
represented by Daniel Morton Nelson
U.S. Attorney's Office
400 E. 9th Street
Ste. 5510
Kansas City, MO 64106
(816) 426-4125
Fax: (816) 426-4322
Email: daniel.nelson@usdoj.gov
LEAD ATTORNEY
ATTORNEY TO BE NOTICED
Date Filed # Docket Text
11/22/2010 *** An indictment has been filed as to Isreal Owen Hawkins. ALL FUTURE FILINGS SHOULD BE MADE IN CRIMINAL CASE NUMBER 10-00332-CR-W-SOW. THIS IS A TEXT ENTRY ONLY - NO DOCUMENT IS ATTACHED. (Beard, Melanie) (Entered: 11/22/2010)
11/16/2010 14 LETTER from Isreal Owen Hawkins -requesting for new counsel and to modify bond (Attachments: # 1 resigned as CEO) (Gicinto, JoRita) (Entered: 11/16/2010)
11/05/2010 13 ORAL ORDER as to Isreal Owen Hawkins: 12 MOTION to continue preliminary hearing to November 22, 2010 filed by Isreal Owen Hawkins IS GRANTED. Preliminary Hearing reset for 11/22/2010 01:30 PM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays.. Signed on 11/5/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) (Entered: 11/05/2010)
11/05/2010 12 MOTION to continue preliminary hearing to November 22, 2010 by Isreal Owen Hawkins. Suggestions in opposition/response due by 11/22/2010 unless otherwise directed by the court. (Attachments: # 1 Affidavit)(Moss, Stephen) (Attachment 1 replaced on 11/5/2010) (Gicinto, JoRita). (Entered: 11/05/2010)
11/02/2010 10 AMENDED NOTICE OF HEARING as to Isreal Owen Hawkins. This is the official notice for this hearing. Preliminary Hearing reset for 11/9/2010 10:00 AM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays.. Signed on 11/2/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) (Entered: 11/02/2010)
11/02/2010 9 NOTICE OF HEARING as to Isreal Owen Hawkins. This is the official notice for this hearing. Preliminary Hearing set for 11/4/2010 02:00 PM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays. The time of the hearing is the only change. Signed on 11/2/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) (Entered: 11/02/2010)
11/01/2010 11 ORDER setting conditions of release and Addendum to Order Setting Conditions of Release as to Isreal Owen Hawkins. Defendant released on a cash bond. Bond posted in the amount of $50,000.00. This document contains original signatures of non attorneys and is being maintained in a paper file at the court.. Signed on 11/1/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) (Entered: 11/03/2010)
11/01/2010 8 Minute Entry for proceedings held before Magistrate Judge Sarah W. Hays: BOND HEARING as to Isreal Owen Hawkins held on 11/1/2010. Parties present in person with counsel. The Court had previously taken the issue ofdetention under advisement pending the determination of court-appointed counsel and until the defendant had met w/Pretrial Services in order to provide the financial information. Defendant has met the bond conditions as modified by the Court on set out on 10/29/2010 (doc #7). The Court reads conditions of release with defendant. Financial affidavit to be completed and filed under seal. Further, after having determined the appointment of counsel, Court sets Preliminary Hearing for 11/4/2010 at 10:00 a.m. in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays. To order a transcript of this hearing please contact Joella Baldwin, 816-512-5052. (Baldwin, Joella) (Entered: 11/01/2010)
10/29/2010 7 ORDER as to Isreal Owen Hawkins - United States Marshals Service is authorizedto release the defendant from the Lafayette County Jail as of todays date.. Signed on 10/29/2010 by Magistrate Judge Sarah W. Hays.(Gicinto, JoRita) (Entered: 10/29/2010)
10/29/2010 ***Remark as to Isreal Owen Hawkins: Surety Bond issued by International Fidelidy Insurance Company in the amount of $50,000 received in clerks office. (Martin, Jan) (Entered: 10/29/2010)
10/29/2010 6 NOTICE OF HEARING as to Isreal Owen Hawkins. This is the official notice for this hearing. Bond/Conditions of Release Hearing set for 11/1/2010 10:00 AM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays.. Signed on 10/29/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) (Entered: 10/29/2010)
10/28/2010 5 ORDER as to Isreal Owen Hawkins - Re: Bond and Conditions of Release set by the Court. Signed on 10/28/2010 by Magistrate Judge Sarah W. Hays.(Gicinto, JoRita) (Entered: 10/28/2010)
10/28/2010 4 NOTICE OF HEARING as to Isreal Owen Hawkins. This is the official notice for this hearing. Preliminary Hearing set for 11/4/2010 10:00 AM in Courtroom 6E, Kansas City (SWH) before Magistrate Judge Sarah W. Hays.. Signed on 10/28/2010 by Magistrate Judge Sarah W. Hays.This is a TEXT ONLY ENTRY. No document is attached.(Gicinto, JoRita) (Entered: 10/28/2010)
10/27/2010 3 ORDER APPOINTING FEDERAL PUBLIC DEFENDER as to Isreal Owen Hawkins. Signed on 10/27/2010 by Magistrate Judge Sarah W. Hays.(Baldwin, Joella) (Entered: 10/28/2010)
10/27/2010 2 Minute Entry for proceedings held before Magistrate Judge Sarah W. Hays: INITIAL APPEARANCE as to Isreal Owen Hawkins held on 10/27/2010. Appointment of counsel to be determined based on information provided to Pretrial Services. Court sets bond in the amount of $25,000 to be signed by defendant and court-approved co-signer; defendant remanded to USM until conditions are met. Preliminary examination hearing to be set at a later date. To order a transcript of this hearing please contact Joella Baldwin, 816-512-5052. (Baldwin, Joella) (Entered: 10/28/2010)
10/27/2010 ARREST of Isreal Owen Hawkins (Baldwin, Joella) (Entered: 10/28/2010)
10/26/2010 1 COMPLAINT as to Isreal Owen Hawkins (1). (Attachments: # 1 Affidavit) (McDowell, Shelly) (Entered: 10/27/2010)
https://ecf.mowd.uscourts.gov/cgi-bin/iquery.pl
More charges for Petro America founder, others
The net widened in the Petro America Corp. case today as federal prosecutors brought additional criminal charges against the company's founder and three alleged insiders.
Indictments in the alleged multimillion-dollar stock scam were brought down against company CEO Isreal Owen Hawkins Jr., Teresa Brown, Johnny Heurung and Clarence D. Moore.
All four were charged with conspiracy. The U.S. Attorney's office alleged the group obtained money through the fraudulent sale of Petro America stock, made fraudulent misrepresentations, and concealed their own enrichment through the scheme.
The government contends Hawkins and his co-horts perpetrated a $7.2 million securities fraud by claiming the company owned gold mines valued at $284 billion.
Hawkins, of Kansas City, Kan., was charged with two felonies last month, securities fraud and "aggravated currency structuring," which involves hiding big cash withdrawals from regulators.
In addition to the conspiracy charge, Hawkins also was charged Monday with money laundering and wire fraud.
Hawkins is expected to make an initial appearance before a federal judge this afternoon.
Brown, of Bandera, Texas, was also charged with securities fraud and wire fraud. The government contends she received more than $3 million from Petro America investors through accounts she controlled.
Heurung was also charged with wire fraud. A Minnesota resident, Heurung was alleged to have held regular conference calls promising investors that they would realize substantial returns on their shares.
Moore was charged with the single conspiracy count.
A group of Petro America shareholders are expected to gather this afternoon in support of Hawkins.
http://economy.kansascity.com/?q=node/8975
Yes I am very right. Andrews has been in jail since May. The rest will follow. They will be gone a long time. Even if they run, they will be followed and caught. I was assured this Friday.
You got it. I have it on very good authority that they are all going to be in prison! I can't wait.
Don't know other than he sold stocks.
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http://www.petroamericacorp.com/
FOR SEC FILINGS:
http://www.sec.gov/cgi-bin/browse-edgar?company=&CIK=0001122771&filenum=&State=&SIC=&owner=include&action=getcompany
http://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001447994&owner=exclude&count=40
________________________________________________________________________________________________________________________________
NEWS RELEASE
OFFICE OF THE UNITED STATES ATTORNEY
WESTERN DISTRICT OF MISSOURI
BETH PHILLIPS
Contact Don Ledford, Public Affairs ? (816) 426-4220 ? 400 East Ninth Street, Room 5510 ? Kansas City, MO 64106
www.justice.gov/usao/mow/index.html
OCTOBER 27, 2010
FOR IMMEDIATE RELEASE
KCK MAN CHARGED IN $7.2 MILLION FRAUD SCHEME THAT TARGETED THOUSANDS OF INVESTORS NATIONWIDE
KANSAS CITY, Mo. – Beth Phillips, United States Attorney for the Western District of Missouri, announced today that a Kansas City, Kan., man has been charged in federal court for his role in a $7.2 million securities fraud scheme that victimized thousands of investors across the United States.
“A federal criminal complaint alleges that Petro America was an empty facade of a business run by deception and false promises,” Phillips said. “Petro’s founder is charged with defrauding unwary investors by selling them worthless stock in order to support his lavish lifestyle.”
Isreal Owen Hawkins, 55, of Kansas City, Kan., was charged in a two-count criminal complaint filed in the U.S. District Court in Kansas City, Mo. Hawkins is the president and CEO of Petro America Corporation. A related civil forfeiture was filed against Petro America on Friday, Oct. 22, 2010.
The criminal complaint charges Hawkins with securities fraud and with structuring financial transactions in order to evade federal reporting requirements. Hawkins founded Petro America, which bills itself as a holding company for crude oil and gold mines (among other claimed assets) in 2007.
Count One: Securities Fraud
According to an affidavit filed in support of the criminal complaint, Hawkins began selling shares of unregistered stock to investors in 2008. At the time, the affidavit says, Petro America had no oil, no realistic prospects for obtaining, transporting or storing large amounts of oil, no significant assets, no revenue and no other employees. The government is aware of no evidence that Petro America has seriously pursued any opportunities to acquire oil fields or conducted oil trading operations. Nevertheless, the affidavit says, Hawkins and others have touted excellent prospects for Petro’s rapid growth in the oil industry.
According to the affidavit, more than 9,000 victims have invested in excess of $7.2 million since August 2008, but instead of using that revenue for legitimate business-related purposes, Hawkins and his co-conspirators allegedly withdrew investors’ funds from Petro America’s bank accounts in cash, which they spent on personal expenditures such as a house by the lake, luxury cars, a $5,700 fur coat, a $37,000 boat, a $5,200 piece of Louis Vuitton luggage purchased in Switzerland, expensive jewelry and travel.
Hawkins, the only full-time employee of Petro America, paid himself an annual salary of $595,000 under a contract that also granted him a $175,000 bonus, 500 million shares that are immediately exercisable, a company car, a company apartment in Missouri, and a dining card. Hawkins drew his salary in cash, in random amounts at inconsistent times, and the company did not withhold taxes.
Conspirators often recruited investors through churches and used religious language in their pitches, the affidavit says, including promoting Petro America as a once-in-a-lifetime opportunity to “share the blessing.” Petro America cultivated a relationship with the African American Ministers Alliance Group, the affidavit says, and according to its records made large payments to multiple Kansas City-area pastors, religious leaders and a local civil rights activist.
Investors lost from $100 to $100,000 each. Initially, many of the investors were drawn into the scheme with the promise that $100 would buy 100,000 shares of Petro America stock, the affidavit says, which Hawkins claimed was “book valued” at $2 per share. As the scheme progressed, conspirators raised the price to invest and claimed an ever-higher “book value” for the shares. The affidavit alleges that this allowed conspirators to unload shares to new investors at an increasing profit. To date, the affidavit says, the stock has never been properly registered or listed on any exchange.
Hawkins allegedly promised “meteoric returns” on investments. At the height of the scheme, the affidavit says, up to $700,000 flooded into the company each month.
Hawkins claimed that Petro America would be “the first African-American holding oil company to go public in the United States,” according to the affidavit. Investors were frequently told that they would be rich when the company “goes public.” Going public, the conspirators allegedly have said for over two years, is just weeks away. In reality, the affidavit says, the company has no significant assets or revenue stream (other than investor proceeds).
Alleged False Claims
Today’s affidavit alleges that Hawkins and co-conspirators provided materially false information to investors. For example, Petro America’s Web site includes a prominent photograph of the luxury office building at Two Pershing Square, ostensibly Petro’s “world corporate headquarters.” In reality, the affidavit says, Hawkins contracts with Regus Management Group LLC, a secretarial service that provides such services as telephone answering, fax and mail handling, use of the address and 16 hours of office usage for an initial monthly fee of $225.
According to the affidavit, conspirators have touted Petro America acquisitions in gold and rock mines as valuable holdings worth hundreds of billions of dollars. In reality, the affidavit says, Petro America’s interests in the gold and rock mines are essentially worthless. Petro America allegedly adopts wildly high valuations for the mines, most or all of which are not producing anything. Many or all of the mines are not actually mines at all, but mining claims. A mining claim is merely a plot of government-owned land upon which a person or corporation has filed a claim of rights to a mineral deposit, which may or may not actually exist.
Based on these representations, Hawkins and others claim that Petro’s assets are worth more than $284 billion. According to the affidavit, if this valuation were accurate, Petro America would be the second-largest company in the United States by market capitalization, larger than Wal-Mart, Apple or Microsoft. America’s largest company is Exxon Mobil, which has a market capitalization of $312.28 billion.
Count Two: Structuring Financial Transactions
Under federal law, banks are required to file Currency Transaction Reports for financial transactions that exceed $10,000 in one day. It is illegal to conduct multiple cash withdrawals in amounts less than $10,000 for the purpose of evading that federal reporting requirement.
The affidavit alleges that Hawkins and others made large cash withdrawals from Petro America’s bank accounts, which were structured to avoid bank reporting laws. For example, according to the affidavit, Hawkins and an unidentified co-conspirator visited Mazuma Credit Union several times each week. Sometimes they made big deposits of multiple checks into the company’s bank account; on most visits, the affidavit says, they withdrew $7,500 to $9,800, often on consecutive days. In this manner, Hawkins obtained at least $537,515 in cash from Petro’s account at Mazuma. The affidavit also alleges that Hawkins structured currency withdrawals out of Petro America accounts at U.S. Bank and Bank of America.
Web Site Support For Fraud Victims
Two Web sites have been established to collect information from the victims of the alleged securities fraud scheme and to provide updated information about the status of the case. Investors of Petro America are encouraged to provide information via an online form at http://www.postalinspectorsurvey.com/PetroAmerica Due to the volume of expected responses, this process has been automated and placed online; all communication from potential victims regarding the case should be made via this Web site. Updates about the status of the case will be posted at http://www.justice.gov/usao/mow/petro.html
Phillips cautioned that the charges contained in this complaint are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Daniel M. Nelson. It was investigated by IRS-Criminal Investigation, the U.S. Postal Inspection Service and the Office of the Missouri Securities Commissioner.
****************
This news release, as well as additional information about the office of the United States Attorney for the Western District of Missouri, is available on-line at
http://www.justice.gov/usao/mow/index.html
Copies of the Affidavit and Complaint filed by the U.S. Attorney's Office against Petro America Corp:
http://media.kansascity.com/smedia/2010/10/22/22/Affidavit.source.prod_affiliate.81.pdf
http://media.kansascity.com/smedia/2010/10/22/22/Complaint.source.prod_affiliate.81.pdf
Federal prosecutors have set up two websites for victims of the alleged scheme.
39 page criminal complaint against Owen Hawkins:
http://media.kansascity.com/smedia/2010/10/27/19/hawkins_complaint__1_.source.prod_affiliate.81.pdf
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