FOR IMMEDIATE RELEASE
Tuesday, January 06, 2009
Contact: Laura Egerdal, (573) 526-0949
Contact: Ryan Hobart, (573) 526-4734
Carnahan Takes Action against Lee's Summit Man for Alleged Investment Fraud and Deceit
Two Sisters Lost over $1.3 Million of Their Inheritance
Jefferson City, Missouri - Officials in the Securities Division of Secretary of State Robin Carnahan's Office issued a Cease and Desist Order against Mark Greenway of Lee's Summit, Missouri, for securities fraud and deceit resulting in the loss of over $1.3 million in inheritance for two sisters.
The sisters initially entrusted over $630,000 of their inheritance to Mark Greenway so he could place it in various investment products. The sisters invested additional funds with Greenway over a period of several years. The order alleges Greenway opened a joint checking/savings account in his name and each of the sisters' names, without their knowledge or approval, by signing their names on an account opening card and using his personal address for the account.
An investigation by the Securities Division found Greenway is not registered to sell securities in Missouri or exempt from registration. The investigation also revealed that Greenway removed funds from the joint accounts to purchase classic cars for himself, make payments for his other businesses, pay his own household expenses, including his personal credit card bills, and purchase certificates of deposit in his and his wife's name.
"These investors trusted Mr. Greenway to protect and preserve their inheritance, and Greenway clearly shouldn't have been involved with handling their money at all," said Carnahan. "Missourians can rest assured that my office will crackdown on possible investment fraud and ensure justice is served."
Further investigation by the Securities Division found that Greenway was previously barred by the Securities and Exchange Commission from association with any broker-dealer or investment adviser because he was found to have committed fraud. The Federal District Court in Kansas City, Missouri also entered a prior Order of Permanent Injunction against Greenway based on the fraud the SEC found Greenway had committed.
To view the full Cease and Desist order go to: http://www.sos.mo.gov/securities/orders/AP-08-34.asp.
For more information regarding investments and fraud protection, visit the Secretary of State's online Missouri Investor Protection Center at www.MissouriSafeSavings.com or call the toll free Investor Protection Hotline at 1-800-721-7996.
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To find out more about Missouri's Secretary of State's office, visit www.sos.mo.gov
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