Litigation Release No. 24995 / December 23, 2020
Securities and Exchange Commission v. Ronnie Lee Moss, Jr., Genesis E&P, Inc., Royal Oil, LLC, and Catalyst Operating, LCC, No. 4:20-cv-972 (E.D. TX, filed December 23, 2020)
On December 23, 2020, the Securities and Exchange Commission filed a complaint against Ronnie Lee Moss, Jr. of Flower Mound, Texas, and Genesis E&P, Inc., Royal Oil, LLC, and Catalyst Operating, LCC, three companies Moss controlled, alleging they raised approximately $5.7 million by selling fraudulent oil-and-gas investments.
According to the SEC s complaint, from January 2014 to March 2018, Moss and his companies sold investments in multiple oil-and-gas limited partnerships to 95 investors nationwide. The complaint alleges that Moss oversaw a cold-calling campaign to solicit investors and prepared and distributed offering documents that misstated or omitted material information about his control over Genesis, his poor performance in prior oil-and-gas ventures
Lit. Release No. 24991 / December 21, 2020
Securities and Exchange Commission v. Dike Boone Nerren, 4:20-cv-00965 (E.D. Tex. filed December 21, 2020)
The Securities and Exchange Commission today charged Texas-based real estate developer Dike Boone Nerren with fraud in connection with two securities offerings he used to fund a real estate project in McKinney, Texas.
According to the SEC s complaint, between 2015 and 2017 Nerren raised approximately $1.4 million through Sapient Fund II, LLC and Vintage Place Fund, LP. The complaint alleges that Nerren diverted $450,000 of those funds to an unrelated real estate project he was developing, without disclosure to investors and in contravention of the disclosures in the offering materials. According to the complaint, although Nerren began repaying the diverted funds, the project experienced financial difficulties and Nerren was unable to pay the project s bills because of the diversion of funds. As alleged, the McKinney project was ul