Jim Finnel
Fallen Cannabis Warrior & Ex News Moderator
An attempt to raise money on Craigslist for a medical marijuana company violated state securities laws, according to Colorado Securities Commissioner Fred Joseph.
Charles E. Perry, owner of Colorado Wellness Providers in Fort Collins, Colo., agreed to a cease-and-desist order forbidding the offering or selling of any security, the Colorado Division of Securities said in a statement today.
Perry allegedly placed Craigslist advertisements seeking $50,000 to complete a facility that offered "an excellent return on a short term investment." Perry also represented that the investment would be backstopped by a marijuana crop insured by Lloyds of London, the statement said.
The commissioner said that Perry had not registered his investment as a securities offering, and that because he solicited the general public, he is ineligible for private placement exemptions.
Joseph said that investors should avoid investing in "the latest fad" or companies with limited track records. "Investors need to protect themselves by exercising common sense, and ignoring internet hype for stocks of unknown companies," he said in the statement.
NewsHawk: Jim Behr: 420 MAGAZINE
Source: mjbusinessreport.com
Copyright: 2011 DealFlow Media, Inc.
Contact: Contact DealFlow Media
Website: Colorado Regulator Stops Cultivation Capital Raise
Charles E. Perry, owner of Colorado Wellness Providers in Fort Collins, Colo., agreed to a cease-and-desist order forbidding the offering or selling of any security, the Colorado Division of Securities said in a statement today.
Perry allegedly placed Craigslist advertisements seeking $50,000 to complete a facility that offered "an excellent return on a short term investment." Perry also represented that the investment would be backstopped by a marijuana crop insured by Lloyds of London, the statement said.
The commissioner said that Perry had not registered his investment as a securities offering, and that because he solicited the general public, he is ineligible for private placement exemptions.
Joseph said that investors should avoid investing in "the latest fad" or companies with limited track records. "Investors need to protect themselves by exercising common sense, and ignoring internet hype for stocks of unknown companies," he said in the statement.
NewsHawk: Jim Behr: 420 MAGAZINE
Source: mjbusinessreport.com
Copyright: 2011 DealFlow Media, Inc.
Contact: Contact DealFlow Media
Website: Colorado Regulator Stops Cultivation Capital Raise
