Principal of Elizabeth, Colorado company consents to cease and desist order from Division of Securities
DENVER (Oct. 21, 2015) – The Colorado Division of Securities, part of the Department of Regulatory Agencies (DORA), issued a cease and desist order to Bighorn Energy and its sole principal, Jimmy Howe of Elizabeth, Colorado, for the sale of unregistered securities by an unlicensed representative. The securities in question were for oil and gas investments, which often draw interest from investors because of their reputation as lucrative “get rich quick” opportunities.
The order, which was signed by Securities Commissioner Gerald Rome on October 21, stipulates that Bighorn and Howe, operating out of Elizabeth, must cease engaging in the sale of unregistered securities or otherwise participating in any activities that violate the provisions of the Colorado Securities Act.
In the settlement agreement, the Division alleged that Mr. Howe was soliciting investors through Craigslist in both Texas and Colorado. In his advertisements, Howe claimed that investors would “help finance a proven oil well in the Texas Panhandle” and returns could “easily be 58.3 percent on an annual basis.” During the time these advertisements were running, Howe was not licensed to offer securities in Colorado, and furthermore the offering itself was not registered with the Division.
“An investment opportunity listed on Craigslist should always be approached with a critical eye,” remarked Securities Commissioner Rome. “While some of these offerings might be legitimate, we encourage people to check that both the company and the investment are properly registered before proceeding, which will at least help to weed out any potential bad actors.”
Howe agreed to the entry of the order, whereby he and Bighorn Energy consent to cease and desist from any and all conduct that violates the Colorado Securities Act.
Division of Securities