Securities News Releases
Thursday, December 15, 2005
Contact: Mike Seitz, (573) 526-0949
Contact: David Cosgrove, (573) 751-4136
Carnahan Orders Arizona Company to Stop Offering Unregistered Securities Promising 90% Returns Per Week
Jefferson City, Missouri -- Secretary of State Robin Carnahan's Commissioner of Securities, David B. Cosgrove, issued a Final Cease and Desist Order yesterday against Brown Associates International; International Financial and Investment Advisors and Ted Brown a/k/a T.R. Brown of Arizona.
In the order, Commissioner Cosgrove found that Ted Brown, Brown Associates International and International Financial and Investment Advisors offered a high-yield investment program that claimed to have no-risk and pay a 90% return per week. The company and Brown claimed that the investor could put money into a "blocked account" in their own bank which would not be accessed by anyone else.
The company also claimed to be a "private placement program" established by a Trading Group and facilitated through a "recognized" bank. However, the company failed to disclose the number of previous participants who had received such high returns or the name of the bank or trading group that was to generate these returns. The company also misrepresented the risk involved with the investment.
"Missourians should be suspicious any time someone offers them a deal that sounds too good to be true or neglects to disclose necessary information," said Carnahan. "To protect yourself, follow the ABC's of investing: Ask Questions, Beware of Fraud, Call the Investor Hotline."
The Missouri Securities Division's order prohibits Brown Associates International; International Financial and Investment Advisors and Ted Brown a/k/a T.R. Brown from offering or selling High-Yield Investments in the state of Missouri.
"The Securities Division works diligently to identify and stop those companies and individuals putting the money of Missouri investors in jeopardy by offering or selling unregistered securities. I encourage investors to call our toll free investor hotline to find out if an investment product or person offering or selling an investment product is registered with the Securities Division" said Cosgrove.
For more information regarding investments and fraud protection, or for information regarding a company or representative, 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.