Colorado sanctions Greeley man for security violations

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A Greeley man has been sanctioned by the Division of Securities for violating state law and offering unregistered investments.

Patrick A. Kelly placed advertisements on Craigslist asking investors for his start-up professional basketball team, called the Colorado Cougars. Kelly wanted help financing the team with the plan that the Cougars would join play in the American basketball league, a minor league professional basketball league.

Kelly said he was looking for a short term loan with a 20 percent return or partial ownership in the team.

The division of securities said the interest in the am offered by Kelly was, in fact, a security offering that he failed to register with the state.

Kelly agreed to stop offering the securities publicly, without admitting guilt.