Oil and gas company sanctioned by Securities Commission

A Texas oil and gas company has been ordered to stop offering securities in violation of Colorado law, said Fred Joesph, commissioner of the Colorado Securities Division.

 

Named in the order are Millennium Exploration Co. and its president and CEO Richard Monroy, both of San Antonio.

 

Monroy allegedly offered and sold its joint venture interest in oil and gas well projects to state investors. Because the interest are securities, the company was required to register them with the division of securities. They failed to do so, according to information from the division.

 

From February to April of 2012, Millennium was offering interests in a three well prospects located in Brazoria County, Texas, by cold-calling Colorado investors. Millennium sold at least one of these interests to a Colorado investor.

 

In agreeing to the consent order, Millennium and Monroy admitted that the interests they offered and sold were securities, and were offered and sold in Colorado in violation of the registration provision of the act. As part of the agreement, Millennium has agreed to make an offer to repurchase the oil and gas interest sold to the Colorado investor. Further, the order requires Millennium and Monroy to immediately and permanently cease and desist from offering or selling securities in violation of the Act.