SEC alleges stock fraud by two oil firms, individual

Nick Snow
Washington Correspondent

WASHINGTON, DC, Sept. 18 -- A federal district judge in Dallas issued a temporary restraining order and asset freeze against two small oil and gas companies and a Los Angeles man in response to US Securities and Exchange Commission allegations of stock manipulation and fraud.

US District Judge Barbara M.G. Lynn of the Northern District of Texas issued the order and freeze Sept. 12 against Terax Energy Inc. of Dallas, Westar Oil Inc. of Beverly Hills, Calif., and Mark Roy Anderson. SEC also ordered a 10-day suspension of Terax's stock, which trades on the over-the-counter bulletin board.

In its complaint, SEC alleged that Anderson gained control of Terax in April. Soon after, the company issued several press releases, which the SEC said were false and misleading, regarding Terax's oil and gas operations and the company's stock price increase to as much as $4.88/share from 30¢/share.

SEC also alleged that Anderson conducted a fraudulent private placement of $1 million of Westar's common stock and made false claims about its oil and gas operations and plans to exchange Westar stock for Terax stock.

SEC said it is seeking permanent injunctions against and civil fines from Terax, Westar, Anderson, as well as Linda Contreras, Anderson's assistant, for violating registration provisions of the 1933 Securities Act. It also seeks disgorgement from Terax, Westar, Anderson and two relief defendants, which it said Anderson controls.

Contact Nick Snow at nsnow@cox.net.

Related Articles

California lawmakers pass in-state gas system methane emissions bill

08/28/2014 The California Senate passed a bill aimed at curbing methane emissions from intrastate natural gas pipelines and local distribution systems. SB 137...

CNRL files OSCA application with AER for Grouse oil sands project

08/27/2014 Canadian Natural Resources Ltd. has submitted an Oil Sands Conservation Act application with Alberta Energy Regulator for its Grouse steam-assisted...

ExxonMobil Pipeline settles charges from 2012 Louisiana spill

08/27/2014 Exxon Pipeline Co. agreed to pay more than $1.4 million to resolve federal charges that a 2012 spill from the company’s North Line near Torbert, La...

EPA extends comment period for proposed refinery regulations

08/25/2014 The US Environmental Protection Agency has extended the public comment period by 60 days for its proposed rule that would force petroleum refiners ...

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected