Securities Arbitration Lawyers Blog
SEC Halts Trading On Petrotech Oil & Gas, Inc.
Petrotech Oil & Gas Inc. (PTOG) is a company based in Bedford, TX, and claims it is involved in petroleum recovery from oil wells that are considered “empty.” Using their own extraction technology with CO2 and N2 called “Gas-Injection EOR” (Enhanced Oil Recovery), Petrotech is able to recover 20% or more than previously thought possible.
On February 19, 2014, the company announced that it would also be entering the legal cannabis market in Washington and Colorado, causing their stocks to surge. Petrotech’s deal created subsidiary Legalizepot.us Management Group, Inc. (the site is now a blank page.) LP.US Management was intended to manage the growing companies where cannabis became legal, starting with Washington and Colorado.
On March 14, 2014, the SEC suspended trading for the company “because of questions that have been raised about the accuracy and adequacy of publicly disseminated information concerning, among other things, the company’s operations.” Trading resumed on March 28, 2018. The company was in the process of completing a 2-year audit to comply with SEC reporting standards to achieve full reporting status.
According to the FINRA arbitration complaint, the elderly Claimant entrusted the entirety of her retirement portfolio to Arete Wealth Management and its broker. The broker proceeded to recommend the senior Claimant invest approximately half a million dollars in various illiquid, non-traded REITs. Among other non-traded REITs, the Arete Wealth Management broker recommended the Claimant invest in American Finance Trust, Hospitality Investors Trust, benefit Partners Realty Trust, and FS Energy and Power Fund, according to the FINRA arbitration complaint.
Massachusetts is investigating allegations that 63 broker-dealer firms may still be selling private placements in GPB Capital Holdings LLC after the firm temporarily stopped raising funds.
On 06/12/20018, a customer filed a dispute against Hines, alleging unsuitable investments from 2005 through 2018, negligence, common law fraud and other claims, and requested damages of $142,026.00. Hines responded that a motion to compel would be filed to bring the case to arbitration, and reasons why the claims were without basis.
Johnson is the subject of seven disclosures on his record, four of which are regulatory actions. Five of the disclosures were filed from 04/24/2015 through 06/20/2018. The first disclosure was employment separation.
Khan was barred by FINRA after he refused to answer a request for information from them. He was barred in all capacities, and from associating with a FINRA member in any capacity, effective 11/17/2017. Khan did not request a termination of his suspension within 3 months, so he was indefinitely barred from the industry, and remains so to this day.
According to CRD records, Malis has five disclosures on his record, all customer disputes. The most recent was filed on 12/7/2017, alleging unsuitable investments and that he never discussed any transactions with the client during the time period 2/13/2006 through 12/31/2016. This claim was denied.
His most recent disclosure was filed on 6/25/2018. This customer disclosure is currently pending, and includes allegations of “unsuitable investments, misrepresentations, and omission of material risks, in connection with the sale of various investments.” The client has requested damages of $231,244.71. Martinsen denies the allegations.
Morrissett is the subject of four disclosures, the most recent of which was filed on 4/5/2018. The claimants allege that Morrissett “misrepresented” two hedge funds in 2013 and 2015, and that the information provided on the two alternative investments was “misleading.” The clients have requested damages of $2,300,000. This case is currently pending.