Hey Evan here is Dusty's Hero ... She would not believe me and that I was a witness against that crook 3 years earlier in October 1998.
usdoj.gov
U.S. Department of Justice
United States Attorney
Northern District of Texas
1100 Commerce St., 3rd Fl.
Dallas, Texas 75242-1699
Telephone (214) 659-8600
Fax (214) 767-0978
FOR IMMEDIATE RELEASE DALLAS, TEXAS
CONTACT: 214/659-8707 OCTOBER 23, 2001
United States Attorney Richard H. Stephens announced that a federal grand jury sitting in Dallas, Texas, returned a 60-count indictment last week against Dallas residents, Daniel W. Fisher, age 60, Richard E. Daniels, age 56, J. Todd Tidmore, age 49, and Patricia L. Anderson Fisher, also known as P.L. Anderson, age 42, charging securities fraud, mail fraud in connection with telemarketing, interstate transportation of fraudulently obtained funds, and aiding and abetting. If convicted, all defendants face substantial prison terms and fines and would be required to pay full restitution to the investors.
According to the indictment, from November 1995 through September 1997, Daniel W. Fisher, Richard E. Daniels, J. Todd Tidmore and Patricia L. Anderson Fisher schemed to defraud people by inducing them to purchase bogus oil and gas investments in programs offered by Gulfstar, Nova Corp. and Nova Gaz. The indictment states that the defendants misapplied and converted to their own use, several hundred thousand dollars from their investors.
Gulfstar Corporation, also known as Gulfstar Mining Corporation, Arrowhead Exploration, Nova Horizontal Drilling Corporation and Nova Corporation, collectively referred to as "Gulfstar" or "Nova Corp," did business from its offices located on Dallas Parkway, in Dallas, Texas. Nova Gaz Corporation, also known as Nova Operating Corporation, Nova Financial Corporation and Gulfstar Financial Corporation, also did business from its office on Dallas Parkway. Nova Financial was registered to publicly sell securities and also did business from its offices on Dallas Parkway. The Threadneedle Trust was a British Public Limited Company which had its principal place of business in London, but also did business in San Antonio, Texas.
Defendant Daniel W. Fisher was the President, Chairman and owner of Gulfstar, Nova Corp. and Nova Gaz. Richard E. Daniels was an officer, director and attorney of Gulfstar and Nova Corp. and a director of the Threadneedle Trust. J. Todd Tidmore was an officer and accountant for Gulfstar and Nova Corp., and was President, Secretary, Treasurer and owner of Nova Financial, Inc. Patricia L. Anderson Fisher was the Secretary, Treasurer, administrator and a director of Gulfstar, Nova Corp., Nova Gaz and Nova Financial.
As part of the scheme, the defendants also used telemarketers, working out of boiler rooms, to assist them in making their sales pitches to potential investors. The defendants touted to these potential investors the significant return they could make through investing in these oil and gas projects.
According to the indictment, from November 1995 through June 1996, defendants Daniel W. Fisher and Richard E. Daniels sold working interests in oil and gas wells to be drilled in the "Oz Program," an oil and gas drilling program located in Kansas. From July through November 1996, defendants Daniel W. Fisher, Richard E. Daniels, J. Todd Tidmore and Patricia L. Anderson Fisher sold interests in the "Dorothy Program," an oil and gas drilling program also located in Kansas. From October 1996 through May 1997, all four defendants sold interests in the Nova Corp. Dundee Joint Venture, "Michigan Dundee 9 Program." Defendants Daniel W. Fisher, J. Todd Tidmore and Patricia L. Anderson Fisher sold interests in the Nova Gaz Michigan Dundee Asset Income Fund18, "Michigan Dundee 18 Program" from March through September 1997.
The defendants made numerous misrepresentations to potential investors such as telling them that their companies were established and financially sound; that the drilling programs had excellent production potential; that the Threadneedle Trust, in business since 1988 with assets worth $3 million, backed the investments with existing production held on behalf of investors; and that their investments were low-risk. The defendants failed to disclose the truth which included: that Gulfstar had little or no capital other than investor funds and relied upon invested funds for its operations; that the "Dorothy Program" and "Oz Program" were speculative "wildcat" ventures; that the "Oz Program" had resulted in two "dry" wells; that based on drilling data from the "Oz Program," the "Dorothy Program" had no chance of commercial production; that audits and financial statements performed and compiled by defendant J. Todd Tidmore did not accurately disclose the financial status and that in fact, J. Todd Tidmore was not an independent auditor, but ran the "boiler room" that solicited investors; and that Gulfstar, Nova Corp. and Nova Gaz were being investigated by a federal grand jury, the FBI and the SEC.
An indictment is an accusation by a federal grand jury and a defendant is entitled to the presumption of innocence unless proven guilty.
In acknowledging and praising the efforts of the Securities Fraud Task Force, United States Attorney Stephens recognized the collaborative efforts of the Texas State Securities Board, the Federal Bureau of Investigation, the United State Postal Inspection Service and the Securities and Exchange Commission. Assistant United States Attorney Len Senerote and Special Assistant United States Attorney Rhonda Rogers are the prosecuting attorneys.
:-) Gary |
