SEC Charges Wellco Energy With Oil Venture Scam

Law360, New York (May 15, 2009, 12:00 AM EDT) -- The U.S. Securities and Exchange Commission has secured a court order freezing the assets of Wellco Energy LLC after accusing the self-proclaimed oil and gas producer, its 29-year-old founder, and three salesman of defrauding investors.

The SEC sought the asset freeze in a civil fraud complaint filed in the U.S. District Court for the District of Colorado on Thursday. The regulator is awaiting a ruling on a motion for a preliminary injunction banning further solicitations to potential investors.

According to the complaint, Colorado Springs, Colo.-based Wellco;...
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