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doc.state.pa.us
For Immediate Release: February 12, 2001
Pennsylvania Halts Unregistered Activity by
San Diego Firm: Tri-West Investment Club
Harrisburg, PA, February 12, 2001 - - The Pennsylvania Securities Commission issued a Summary Order to Cease and Desist against Tri-West Investment
Club (Tri-West), Jason Kingsley, President of Tri-West, and Robert R. Pickel, a member of Tri-West located in Ronks, PA (Lancaster County), to halt the
offer and sale of unregistered securities by an unregistered agent in the Commonwealth. Located in San Diego, CA, Tri-West has an advertisement on the
Internet relating to investing in Tri-West. The Web Site does not contain the disclosure set forth in Regulation 203.190.
In January 2001, Pickel offered an opportunity to invest in Tri-West's investment club to at least one Pennsylvania resident who had no pre-existing relationship
with the respondents. Offering materials indicate that investor funds are pooled to purportedly invest in Bank Debentures (Investment), with a one-year term,
and that, "An investor will receive a return on the Investment of ten percent per month." According to the Web Site, "Tri-West pays a referral bonus to the
referring member of 15% of the referred investment and 15% of the earned income of the referred member."
The Commission directed the respondents to make no further offers or sales of the Investment in Pennsylvania. The Investment issued by Tri-West is a security
under the Pennsylvania Securities Act of 1972. The Investment is neither registered nor exempt from registration under Section 201 of the 1972 Act. Pickel
acted as an agent of Tri-West while not registered in Pennsylvania.
The respondents violated the anti-fraud provisions of the 1972 Act. In connection with the offer to sell the Investment, the respondents failed to disclose the
material facts that, during the period from May 2000 to January 2001, Kansas, Illinois, South Dakota and West Virginia issued orders against Tri-West for
making unregistered offers of securities and a Texas order cited the respondent for making misleading statements in connection with fraudulent trading
programs.
Any further solicitations or sales made by these respondents in Pennsylvania will constitute violations of the 1972 Act and the Commission's Orders. Any
person who is solicited by or has information about these respondents is asked to immediately notify the Pennsylvania Securities Commission by calling
800-600-0007, or, in Harrisburg: (717) 787-8062, in Pittsburgh: (412) 565-5083 or in Philadelphia: (215) 560-2088.
Contact:
Michael G. Brennan, Counsel
Division of Enforcement & Litigation
717/787-8062 or 800/600-0007 |
