Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Thanks for being on the ball.
I had tried again and it came up. I was printing it while you were sending this to me.
I can tell you tons of things about these Langenbach crooks.
Copy and pasted that part from the Order:
IT IS FURTHER ORDERED, pursuant to A.R.S. $ 44-2032, that LANGENBACH, individually, and the marital community of LANGENBACH and SPOUSE, jointly and severally, shall pay restitution to the Commission in the principal amount of $1,519,797.00 Payment is due in full on the date of this Order. Payment shall be made to the “State of Arizona’’ to be placed in an interest-bearing account controlled by the Commission. Any principal amount outstanding shall accrue interest at the rate of 10 percent per annum from the date of purchase until paid in full.
IT IS FURTHER ORDERED, pursuant to A.R.S. 8 44-2036, that LANGENBACH, individually, and the marital community of LANGENBACH and SPOUSE, jointly and severally shall pay an administrative penalty in the amount of $50,000.00 Payment is due in full on the date of this Order. Payment shall be made to the “State of Arizona.” Any amount outstanding shall accrue interest as allowed by law.
Uploaded the document for you onto media fire
Hopefully that will work better for you:
http://www.mediafire.com/file/e7tjw7hputx6le6/0000119016.pdf
I knew about the first one but couldn't bring up the penalty one. I still can't. Would you be able to print it out here?
Thank you so much!
Brian Langenbach and his wife, Sheri, got busted by the state of Arizona partially due to their selling of Petro America Corp shares in Arizona as unregistered agents from August 2009 - October 2009.
Here are the documents on file with the state of Arizona Corporation
Commission:
http://images.edocket.azcc.gov/docketpdf/0000117033.pdf
http://images.edocket.azcc.gov/docketpdf/0000119016.pdf
The first one is the Cease and Desist Order
The second one is the Order for Restitution and Administrative Penalties
I expect we'll be seeing more of these types of things being done on the local level by many states against people that illegally sold Petro America Corp securities as unregistered agents.
What is the latest on Langenbach who AZ got after?
He is a big crook.
Mike500-I was a believer of Petro hence my name and all I did was just watch the boards here. Never wrote until...the complaint...then all my suspicions the last few months were in black and white.
Last year with all the delays of certificates. 30 days then another 30 days then transfer agent he said quit, and it goes on and on..each week the same old song from him then Johnny with no clear picture of when we would go public.
One year since we heard we would get those certificates-but I gave him the benefit of the doubt-time and time again-week after week-month after month-
I read the message boards and didn't want to believe some of these people. THEY WERE RIGHT and soon you will realize WE ARE RIGHT.
Your trusted CEO is a big crook. He duped so many people and still is. I don't have to look far to see so many still are hanging on to this man's every word.
May I ask? What has he done for any of the shareholders? Has he kept any of his promises?
I hope you see the light like so many of us now have.
Speaking of buses I think it already left the depot along with the train and plane...they, (the government) did their investigation that is why we saw the complaint then the arrest warrant that followed.
You're killin' me stop!!! lol...so true yes I am sure the kool-aid drinkers will soon write the Pope to have Owen canonized and we can call him St.Owen the people's CEO for the poor and I forgot..for the deaf, dumb and blind
ALRIGHT MIKE500, you got to get a grip on reality. You have really been fooled. So sad. I can't imagine how much you lost. I would file right away and try to get it back. There is NO PETRO!!!! Owen cannot defend himself. He used money given by investors. He cannot prove that he has made money by his own means. You cannot by law use investors money for your own personal use, and he defends Teresa? This is one of the sickest schemes. And it is so transparent.
There is a thing called a courtroom
There is a lot of people that forgot a thing in the United States
called a courtroom. I think in the U.S. that stills happens you go to court to explain or you have your day in court. Is that still true or not? Or did President Obama get rid of that too. The way the United States has been working lately you all will lose all your rights if you are not careful. Anyway back to Petro, Owen gets a chance to tell his side of the story. I am waiting for the JURY to weigh ALL the info to see what happens. Not the people on this board is the judge or jury.
Mike500,
Where have you been.....the very FACT the affidavit was served, and Owen was arrested, SHOWS that the GOVERNMENT HAS FOUND "wrong doing".
He's been SERVED, He's been CHARGED....he will have time now in court, to explain.....
Quit listening to individuals that are suckling from the Petro teat.....they are misguiding individuals. You really need to read the affidavit.
The government already finished their investigation; hence the Felony charges. Please try to keep up, TIA
Harley
Yeh, you will get "restricted"
Not throwing anybody under Bus until
Waiting on government to finish their investigation before judging anybody. If the government finds NO wrong doing what are you going to say then. You will never hear the end of it from me.
Don't forget about a CNN interview, promoting the NEW Once in a Life Time movie, "Owen Hawkins Gets His Laugh On, All the Way to The Bank."--------- Oh yeah, I forgot......HE DOESN'T HAVE A BANK ACCOUNT.....AND HASN'T MADE ANY MONEY SINCE 1995....
A Vow of poverty!!! HA............
She sure did work hard! Her trips, new luggage, dripping in diamands, and shoot, no room in the jewelery box...oops, got to go shopping!!! Buy some more shareholder value...lol....yeah, some people are just that special...they don't have to live by the same rules as others do...looks like Owen, Teresa, and Johnny and friends, found a few ways around them. Wonder what's will happen next?
that's right all the while building shareholder value and let us not forget the Nobel Peace prize Petro is going to get from all the humanitarian deeds Petro has done...does letting one of your shareholders purchase designer luggage with shareholder money qualify for humanitarian deeds...hmmmm...I wonder....
C'mon dhrr06 Owen stated in his emergency call that Theresa worked hard for Petro and she deserved those things, and he didn't care that she used shareholder money. Still building shareholder value :)
I love that comment....you make total sense, dhrr06!
Hi Newbie - - -
Where have you been hiding? Are you a shareholder??
thanks
P
Listen Mike500 he is right give it a rest. You are telling us that the government did all this because some people didn't get in? The naysayers are ONLY people that couldn't purchase stock? Come on!!! do you hear yourself? that is just ridiculous from all points of view-childish on your part not to logically think of anything else to say to back Owen and his cohorts up.
I spent 100.00 for my 100K shares. Not a lot of money to lose. Don't care about the money AT ALL. NOT IN THE LEAST. IT IS THE PRINCIPLE of the entire thing. He played on people's hopes and dreams-and you put together your 100, mine, his, hers and that is a lot of money.
All his little cohorts got rich, bought lavish things,vacations,homes, etc on our money. Meanwhile OH, Marcia, Johnny, Teresa and whoever else he let get their little fingers on the money lived high on the hog.
I am sick of you saying people that are complaining don't have stock that isn't even the point.
I think you need to look over that complaint then the charge he was arrested for then if that doesn't turn on the light bulb in your head listen to the State Attorney Beth Phillips talk about what Owen did over the last few years. It isn't poor Owen it's poor shareholders who got scammed and who believed something would eventually come down the pike so they could help their families, friends, get out of debt. I don't think many wanted riches these days they wanted HOPE out of this recession.
If reading the complaint or the arrest charge makes you stop and think not to mention all the time that has passed with so many PROMISES of certificates/going public from OH then I feel sorry for you.
Don't know what kind of spell OH has on some of you people.
You may want to make a correction:
You post nay sayers don't have shares....I think the real truth is, that more than half the nay syaers on this board, do have shares in Petro. There are only a few of us that don't, and don't want any. I just "PRAISE GOD", I got my money back, because it would have really ticked me off, if my $2000.00 landed around Teresas neck, wrist, and/or finger....or in that expensive luggage she bought with your shareholder money. Of course there were "three little piggys" in the cookie jar...we won't leave out Owen and Johnny....and many others.....
So the point I'm trying to make, is......
GIVE IT UP, ALREADY.....
Petro stock is history.....never will trade....and you'll see as things progress, if the selling of Petro trading continues...others will be holding prayer meetings right along with Owen in the pokey....
You have GOT to be KIDDING....
Conference call tonight - 8:00pm
Petro goes forward and will trade soon, sorry for the people who do not have shares and have been talking bad about the company for the last 2 years. You had the chance don't be a sore loser now.
Sounds exactly like what Johnny Heurung has said on his calls.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=56099297
Wow! I've heard some convoluted conspiracy theories in my time at the rodeo but yours is right up there with the worst of them. (right out of the gate too!)
When it comes to money, people will say just about anything.
You all still do not get it about Owen and the Money
They want to STOP the trading because some people and the government insiders do not have stock in Petro. They all miss the boat on getting their shares. So they think it I can't get rich you are not either. We the government and some people out there are trying anything to stop it, even in the 11 hour. I do not trust our government like I use to. I do not put anything past them. THAT IS WHAT IS GOING ON AND THEY KNOW IT. It not about Owen it about the MONEY. Alot of people are going to be left out, hope you finally get it.
Hello Petro Hopeful, a.k.a "baghdadiceman"; I hope all is well. I hate to say it, but there are no assets, if there were, there wouldn't be ANY legal problems, or the stock would be trading already. See, only when you have something to hide is when they keep looking for 2+ years.
GLTY Mike,
Harley
That is priceless.
Thank you Nodummy for setting Mike500 straight about my shares.
Why would I lie about it and why would I care so much if I didn't. As far as the company goes it is done. Petro/Owen is no longer going to hurt anyone anymore by stealing their money for their own personal gain. As far as Petro/Owen goes keeping these members hopes alive with promises that can never come true is a crime in itself but their are still those like MIKE500 who desperately want to believe Owen is telling the truth. LOL...Owen wouldn't know the truth if it slapped him in the face.
Withdrawing thousands of dollars daily by both Owen and his secretary is business as usually in so many companies that have billions of dollars in assets. Oh, and changing the withdrawal so it stays under the HOMELAND SECURITY radar is also business as usual for billion dollar companies? RIGHT MIKE?
When i die i would like to have Owen on my right amd Teresa on my left, So i could could die like Jesus; Between two theives!!
Ummmmm, Mike500, please read the complaint from the IRS then you also need to read the charges brought by the government. I think they already found out the TRUTH about OWEN!!! Just a wild guess. Owen will have to prove he has a company that is worth billions..lol..
Let's call it like it is...Owen is a legend in his OWN MIND!!! Oh sorry and also in the minds of his kool-aid drinkers which are dwindling.
Give me a break! I do have stock and thank goodness only lost 100.00 but I know people that purchased stock a few months back from Teresa Brown for 1000.00.
I wouldn't waste my time on this message board if I had no investment in this company. Yes, it is only 100.00 but my 100.00 and quite a few others 100 bucks made Owen Hawkins a lot of money.
You do not even know who I am so to say you know I do not have stock is ridiculous at best.
Owen is a thief no let me take that back. He is a two bit crook who finally caught the BIG ONE only he couldn't figure out how to keep it going. He couldn't even figure out how to take money out of the bank without drawing attention to himself. Even the bank tellers knew something was up. Listen if bank tellers can spot a crook from a mile away then something is wrong. Let's just face it OWEN WAS JUST NOT GOOD at even being a crook.
After Owen is Cleared on All Changers
Also when the government finds out the true about Petro and the Assets what is your small group of na sayers going to say then. I know Owen will be cleared. Just a matter of time to run thur the system. I do know what is going on. You do not know what I see, about the government, Petro and Kansas City Star. At the end of the day Petro will go forward and will trade. You can rest asure on that.
Mike500 are you talking about PTRZ or Petro Kansas?
In either case your post makes no sense.
PTRZ shares are publicly trading on the grey sheets. If anybody wants to take a chance with this company which probably will end up getting revoked here eventually then they can put a bid in and get some shares.
If you are talking about Petro Kansas shares then I have to question whether or not you have really followed that company over the past 2 years. Petro - Kansas shares have been sold continuously over the past 2 years. As recently as September of 2010 new investors could still buy into this scheme. Thousands of investors have bought billions of shares since the initial offerings in Sept of 2008. Anybody and everybody that wanted to buy shares was able to.
I have to admit though your statement that the people in the government are just mad because they couldn't buy shares is an instant classic.
Try reading this forum again and also the forum set up specifically for Petro-Kanas:
http://investorshub.advfn.com/boards/board.aspx?board_id=17087
Here is some of the results of the survey investors are invited to fill out for the U.S. Attorneys office. Part of what it tells is when people bought shares and who they bought from. One person posted in the survey that they bought their shares in October of 2010.
http://www.postalinspectorsurvey.com/survey2008/Lists/PETRO%20AMERICA%20SURVEY/summary.aspx
You should take the time to read believer17's posts better too. He clearly said that he does own shares.
Mike,
You need to step back and look at reality.
I got my money back last year...I stopped believing in Petro, because I could see all the lies Owen spewed...I do NOT regret getting out, and I'm looking at it from a whole new perspective this past week. I'm glad I could spot a scam....and I'm sorry so many people have spotted it too late, and I'm glad the government went in to stop it, until they can get further proof it's not a scam. Or it is....
What ever the case, Owen has to answer questions he hasn't answered yet. I'm sorry you can't see it, but one day you will....to come on the forum and say what someone did, or didn't do, has no bearing on the fact Owen and Petro is in a lot of hot water right now...quit trying to muddy the water with accusations that have nothing to do with Owen...Owen and Petro is the topic, not whether someone didn't get a chance to get in. IF that was the case, bet he's glad now!!
But really, WHO CARES...about all the inner circle and bickering going on around about Owen, and how the inner group is dealing with things...they seem frantic, and in turmoil...they'll get over it, once Owen is locked up, and so will you. Give it time, everything will work out. I don't know why you feel you have to attack someone, for Owens's sake. Put the blame where it belongs....on Owen, he created this mess.
One other thing, If Owen were any kind of a man, he wouldn't allow the bickering in the first place. He'd ask his followers to stop, but he's doing the opposite, because he's protecting himself through the chaos...
You make a good point! That is true...
Hey thanks dhrr06-going to check it out now
Here's another board I haven't seen you on...
http://investorshub.advfn.com/boards/board.aspx?board_id=17087
Mrplatinum, one of petro's mine owners made a few comments last night. He indicated he gave a cease and desist to Petro, so 4 of Petro's mines will be gone. I think 5.2 billion was claimed value...chech me on those numbers, by checking his past posts...I could be wrong, I haven't had my coffee this morning...still half asleep...lol...the other board pertains to Petro Kansas, and this board is Petro Deleware ASWD/PTRZ
Why continue? Haha because the MLM's need you. It's a numbers game to them. They need to continue advertising to you and bringing you on board to their other ventures.
Another reason is that some of these people are not shareholders they are FOLLOWERSand they think of Owen as Jesus and I mean that. If you heard that woman talk about owen she held him on some sort of pedestal, WHY? What has OWEN done for PETRO and HER SHAREHOLDERS as of today? I have not seen any revenue on my money or the friends I know that are in have received no money. Promises of certificates started last November when he said we would have them in 30 days, then another 30 days then another 30...until now and still have not seen that certificate not that it is worth anything anyway. Owen has not kept his word about anything.
If you read any of the articles in the Kansas City paper. They had those meetings in a run down meeting hall and a hat was passed around to help with the money to pay for the room. As someone stated in the paper...if a company is worth billions not millions WHY THE HELL would they need to pass a hat to pay for a dingy room they are having their meeting in. Would ATT or Microsoft have a meeting in a crappy room and expect its shareholders to pay for it? I think not. The amount of net worth that Petro was suppose to have both the paper said and the complaint stated ...it put Petro 2nd in line as the most net worth company in the country. Haha..and yes shareholders had to pay for their own meeting room.
Where did they get the money to spring Owen out of jail from? That I would love to know.
They will ALL be accessories to this if they don't stop perpetuating this scam.
One more thing if you didn't read my other post from last night. That woman on the call said poor OWEN couldn't talk to his family or be with his dying mother. I would like to say LADY, that is what happens when you do something wrong, the police come and throw you in jail, in jail you do not get to talk to your family or go for visits on a whim. You must stay in jail. It is not a country club. Next time Owen goes back to jail I hope they throw the key away. Teresa Brown, Marcia, Johnny to follow
Imagine that Owen beefing up something for himself
you are welcome-they are all scum for helping perpetuate this thing a little more. The US Attorney's office should be notified and give a cease and diciest order asap to anyone doing such
no just 100 bucks but it isn't the money that matters to me it is the arrogance of them all. Owen has some sort of power over these people or they are just so stupid and gullible like a Jim Jones cult drinking the red kool-aid
The miners jumped ship? please explain I didn't hear that yet but it sounds so deserving.
They all deserve the silver handcuffs
didn't you just hear...the miners just jumped ship....Petro is sinking...now it really has no assets...who's going to buy stock that is worthless??? I see beleiver17 as being smart, if he didn't get into Petro...hopefully, at the end of the day, you'll be able to get your money back...I hope you didn't buy too much...
As far as Performance Packaging goes:
While Hawkins claims PAC has a 51% interest in Performance Packaging, he reluctantly admitted to the SEC in August 2009 that by contract, Performance Packaging has to reach a certain level of revenue before it must make any monetary distribution to Petro. Hawkins was evasive regarding whether the distribution benchmark had been reached, although he clarified, “I think it will.” When the SEC asked whether Petro has had any actual revenue from any of its other businesses since Petro’s initial offering, other than prospects, he stated “No.” Hawkins failed to disclose this benchmark to the attorney at the March 2010 meeting.
Sounds like as of March 2010 Petro America Corp has received no revenue from Performance Packaging Group. And because Owen was unclear what the benchmark is that has to be reached for Petro America Corp to receive revenue from Performance Packaging it is unclear if Petro America Corp will be receiving any revenue from Performance Packaging Group for 2010.
I would love to know the benchmark and I hope some day it comes out in an official report. It wouldn't surprise me in the least if it was intentionally made to be a very big number to insure that Performance Packaging would never have to give up any of it's revenue to Petro America Corp. The deal may have only been structured so that Owen could claim Performance Packaging as an asset so he'd have something real to share with shareholders.
As far as Owen or anybody else saying that Performance Packaging Group employees are Petro America Corp employees. I think that is a very false statement too. It's just Owen trying to stretch the truth to make Petro America Corp sound like it is accomplishing something. In this case Owen used it to say that Petro America Corp has created over 100 jobs.
These people that held the conference call tonight are tied up in Petro, using Petro for their MLM businesses...they need Petro because Petro has made them a lot of money....so they are deperately begging people to stay...most likely many have sobered up from the koolaid they have been given, and are going home, and wanting their money back...this was a "panic attack" call tonight.
It will continue for a while, then the trial will start, and hopefully the REAL truth will come out. Since Owen hasn't been forthcoming with information to the shareholders, he probably doesn't have anything to show the govt either. We have to wait and see.
What I am wondering is will this whole thing ever end???? Why continue with conference calls???? What is really the point?
Believer17, you said that wonderfully.....I know that's what I was thinking....thanks for your insight.
Followers
|
59
|
Posters
|
|
Posts (Today)
|
0
|
Posts (Total)
|
12022
|
Created
|
11/27/06
|
Type
|
Free
|
Moderators |
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
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |