Hughes Energy IncGuilty to charges of running a Ponzi scam

L
This review was posted by
a verified customer
Verified customer

Contact: Carl Royce - President
Address: 1021 N. Epworth St., Fairfield, Illinois 62837, USA
Phone: +[protected] Fax: +[protected]
Carl E. Royse and his daughter, Jeanette Riley of Illinois pleaded guilty to charges, made by federal prosecutors, of running a Ponzi Scam on investors who bought into their investment company Hughes Energy Inc. in the hope of striking it rich.
They attracted investors by claiming to have discovered new methods of extracting oil and gas resources. From July 2003 to June 2007, the company sold off investments in the company to people all over the country.
Prosecutors charge, the duo were really running a Ponzi scam by paying off as returns, to old investors, the capital collected from newer ones. Prosecutors also charged that the duo had hid their black past from investors. They had been, in the past, upbraided by the Securities Exchange Commission and a Federal Court had specifically forbade them from entering into such enterprises.
This information could have sounded off potential investors and could have dented the success enjoyed by their scheme. Consequently, they were able to attract approximately $4 Million worth of investments from unsuspecting investors.
They now face sentences of up to five years in prison and fines amounting to $8 Million apart from other sentences. The actual sentences are scheduled to be pronounced on 20 Oct.

Post your comment

    By clicking Submit you are agreeing to the Complaints Board’s Terms and Conditions

    IN THE NEWS

    Unhappy consumers gather online at Complaintsboard.com and have already logged thousands of complaints.
    If you see dozens of complaints about a certain company on ComplaintsBoard, walk away.
    One of the largest consumer sites online. Posting here your concerns means good exposure for your issues.
    A consumer site aimed at exposing unethical companies and business practices.
    ComplaintsBoard is a good source for product and company gripes from especially dissatisfied people.
    You'll definitely get some directions on how customer service can best solve your problem.
    Do a little research on the seller. Visit consumer complaint websites like ComplaintsBoard.