FOR IMMEDIATE RELEASE
Thursday, July 26, 2007
Contact: Carrie Bebermeyer, (573) 526-0949
Contact: Ryan Hobart, (573) 5264734
Calls to Carnahan's Investor Protection Hotline Shed More Light on Investment Scam
Jefferson City, Missouri - After receiving numerous calls related to information released about Steven Gwin and his investment scheme in southwest Missouri, Missouri Secretary of State Robin Carnahan's Securities Division has expanded the scope of its actions in an effort to protect more Missouri investors.
Commissioner of Securities Matt Kitzi issued a second cease and desist order against Gwin which also named Robert Huelle of Reno, Nev., and Eric Krause of Raymore, Mo., as a part of the securities scheme that is currently under investigation.
The investors' money was initially transferred to new accounts at Millennium Trust Company, LLC, a firm not named as a respondent in this matter. However, investors claim their money was then transferred to Capital Funding Management, Inc., a company controlled by Huelle, without their knowledge. The order indicates that the respondents may have used forged signatures on promissory notes to transfer the funds. Gwin, Huelle and Krause are accused of not properly registering the corporation's securities or providing sufficient information about the investments they sold.
The information that led to the second order was received through Secretary Carnahan's Investor Protection Hotline following press coverage of the Gwin matter in early July.
"It is vitally important that Missourians use our Investor Protection Hotline to report suspicious activity," said Secretary Carnahan. "In this case, calls have led to new actions which we hope will prevent further harm to Missouri Investors."
Last month, Commissioner Kitzi issued a cease and desist order against Gwin, of Ozark, Mo., and Leatson Landes, of Hot Springs National Park, Ark., for their alleged roles in a securities fraud scam. In that case, Gwin and Landes are accused of convincing Missouri seniors to invest in one company and then transferring those investment funds to a second company controlled by Gwin and Landes without some investors' knowledge.
For more information regarding investments and fraud protection, visit the Secretary of State's web site at www.sos.mo.gov/securities or call the toll free investor hotline at 1-800-721-7996.
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