2017-06-12 sec-litreleases litigation_release 65 KB 2,199 chars

SEC v. Ascenergy LLC; Joseph Gabaldon; and Alanah Energy, LLC, No. LR-23856, District of Nevada (June 12, 2017) — Press Release

raw: Ascenergy LLC et al.

Ascenergy LLC et al., No. 2:15-cv-01974 (June 12, 2017)

Caption
Williams v. Janssen Research & Development LLC
Source PDF JSON
summary

Ascenergy LLC, Joseph Gabaldon, and Alanah Energy, LLC were found guilty of orchestrating a $5 million deceptive crowdfunding scheme, resulting in a final judgment requiring them to pay over $7 million in disgorgement, interest, and civil penalties.

paragraph

The SEC obtained a final judgment against Ascenergy LLC, Joseph Gabaldon, and relief defendant Alanah Energy, LLC for orchestrating a deceptive crowdfunding scheme that raised approximately $5 million from 90 investors. The defendants were accused of making material misrepresentations regarding the company's operations and the use of funds to solicit investments in undeveloped oil and gas wells. Ascenergy and Gabaldon were ordered to pay over $5.3 million in combined disgorgement and interest, plus significant civil penalties.

narrative

The U.S. Securities and Exchange Commission obtained a final judgment against Ascenergy LLC, its founder Joseph Gabaldon, and relief defendant Alanah Energy, LLC for orchestrating a $5 million fraud targeting global investors through deceptive crowdfunding and website solicitations for undeveloped oil and gas royalty interests. The SEC alleged material misrepresentations about the company, the offering, and the use of funds, violating Sections 17(a) of the Securities Act and 10(b) and Rule 10b-5 of the Exchange Act. Without admitting or denying the allegations, Gabaldon and Ascenergy agreed to pay $5.11 million in disgorgement, $197,217 in prejudgment interest, and combined civil penalties of $1.87 million. Alanah was ordered to disgorge $103,890 plus $4,670 in interest. The final judgment, entered by Judge Gloria M. Navarro on May 23, 2017, includes permanent injunctions against future securities violations. The case was prosecuted by the SEC’s Fort Worth Regional Office. The total amount to be paid by the defendants is over $7 million. The SEC's complaint alleged that Ascenergy and Gabaldon engaged in a deceptive scheme since at least 2014, raising approximately $5 million from approximately 90 investors worldwide.

Enriched metadata

Scheme
advance-fee (90%)
Court
District of Nevada
Case No.
2:15-cv-01974
Outcome
settled
Disgorgement
$5,112,473
Civil penalty
$1,550,000
Victim loss
$5,000,000
Victims
90
Entity
Ascenergy LLC
CIK
0001588635
Classified advance-fee(confidence 90%). No EDGAR filing fingerprint (criminal/DOJ-side scheme). detection rule →
Statutes
Section 17(a) of the Securities ActSection 10(b) of the Securities Exchange ActRule 10b-5
Parties
WilliamsJanssen Research & Development LLC
Keywords
ascenergyascenergy gabaldonllcgabaldonsecurities exchangegabaldon alanahfinalalanahexchange commissionfinal againstagainst ascenergyjoseph gabaldonalanah energysecuritiesexchange

Exhibits & Attached Documents (1)

Extracted insights

Dollar amounts 7
  • $5.11M $5,112,473 $1M–$10M
  • $5.00M $5 million $1M–$10M
  • $1.55M $1.55 million $1M–$10M
  • $320K $320,000 $100K–$1M
  • $197K $197,217 $100K–$1M
  • $104K $103,890 $100K–$1M
  • $5K $4,670 <$10K
Entities 5
  • company ascenergy llc
  • company final judgment against ascenergy llc, joseph gabaldon, and alanah energy, llc
  • person joseph gabaldon
  • agency Securities and Exchange Commission
  • organization Securities and Exchange Commission
Triples 16
  • Securities and Exchange Commission obtained final judgment against Ascenergy LLC, Joseph Gabaldon, and Alanah Energy, LLC
  • Ascenergy LLC engaged in deceptive scheme on crowdfunding websites and the company's website
  • Joseph Gabaldon engaged in deceptive scheme on crowdfunding websites and the company's website
  • Ascenergy LLC alleged to engage in deceptive scheme since at least 2014
  • Joseph Gabaldon alleged to engage in deceptive scheme since at least 2014
  • SEC obtained final judgment Ascenergy LLC, Joseph Gabaldon, and Alanah Energy, LLC
  • Ascenergy and Gabaldon engaged in a deceptive scheme on crowdfunding websites and the company's website
  • SEC announced final judgment against Ascenergy LLC, Joseph Gabaldon, and Alanah Energy, LLC
  • SEC obtained final judgment against Ascenergy LLC, Joseph Gabaldon, and Alanah Energy, LLC
  • Ascenergy engaged in deceptive scheme on crowdfunding websites
  • Gabaldon engaged in deceptive scheme on crowdfunding websites
  • SEC alleges Ascenergy and Gabaldon engaged in deceptive scheme
  • Securities and Exchange Commission filed complaint against Ascenergy LLC et al.
  • Ascenergy LLC was sued by Securities and Exchange Commission
  • Joseph Gabaldon was sued by Securities and Exchange Commission
  • Alanah Energy, LLC was sued by Securities and Exchange Commission
PDF (from attached: pdf)
On June 21, 2016, the Court entered an Agreed Judgment against Defendant Ascenergy · Source
Text layers
Extracted body text (2,199c) 
U.S. SECURITIES AND EXCHANGE COMMISSION Litigation Release No. 23856 / June 12, 2017 Securities and Exchange Commission v. Ascenergy LLC et al., No. 2:15-cv-01974 (D. Nev. filed Oct. 13, 2015) SEC Obtains Final Judgment against Ascenergy LLC, Joseph Gabaldon, and Alanah Energy, LLC The Securities and Exchange Commission announced today that it has obtained a final judgment against Ascenergy LLC, Joseph Gabaldon, and Alanah Energy, LLC. The SEC's complaint alleges that, since at least 2014, Ascenergy and Gabaldon engaged in a deceptive scheme on crowdfunding websites and the company's website to solicit investors to purchase overriding royalty interests in five initial, undeveloped oil and gas wells. According to the complaint, Ascenergy raised approximately $5 million from approximately 90 investors worldwide. The complaint alleges that Ascenergy and Gabaldon made multiple, material misrepresentations about the company, the nature of the offering, and the use of investor funds. The SEC also alleges that Alanah and Pyckl LLC - both of whom have been charged as relief defendants - have received, possessed, or benefited from investor funds. The complaint charges Ascenergy and Gabaldon with violating Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. Without admitting or denying the allegations in the SEC's complaint, Ascenergy and Gabaldon consented to the entry of a final judgment imposing permanent injunctions and ordering Ascenergy and Gabaldon, jointly and severally, to pay disgorgement of $5,112,473, prejudgment interest of $197,217, and civil penalties of $1.55 million and $320,000 each, respectively. The final judgment also orders Alanah to pay disgorgement of $103,890 with prejudgment interest of $4,670. On May 23, 2017, the Honorable Chief Judge Gloria M. Navarro of the United States District Court for the District of Nevada entered the final judgment against Ascenergy, Gabaldon and Alanah. The SEC's continuing litigation is being conducted by David Reece and Keefe Bernstein of the Fort Worth Regional Office. Final Judgment - Ascenergy LLC, Joseph Gabaldon, and Alanah Energy, LLC
OCR text (2,199c · html-text · 99% conf) 
U.S. SECURITIES AND EXCHANGE COMMISSION Litigation Release No. 23856 / June 12, 2017 Securities and Exchange Commission v. Ascenergy LLC et al., No. 2:15-cv-01974 (D. Nev. filed Oct. 13, 2015) SEC Obtains Final Judgment against Ascenergy LLC, Joseph Gabaldon, and Alanah Energy, LLC The Securities and Exchange Commission announced today that it has obtained a final judgment against Ascenergy LLC, Joseph Gabaldon, and Alanah Energy, LLC. The SEC's complaint alleges that, since at least 2014, Ascenergy and Gabaldon engaged in a deceptive scheme on crowdfunding websites and the company's website to solicit investors to purchase overriding royalty interests in five initial, undeveloped oil and gas wells. According to the complaint, Ascenergy raised approximately $5 million from approximately 90 investors worldwide. The complaint alleges that Ascenergy and Gabaldon made multiple, material misrepresentations about the company, the nature of the offering, and the use of investor funds. The SEC also alleges that Alanah and Pyckl LLC - both of whom have been charged as relief defendants - have received, possessed, or benefited from investor funds. The complaint charges Ascenergy and Gabaldon with violating Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. Without admitting or denying the allegations in the SEC's complaint, Ascenergy and Gabaldon consented to the entry of a final judgment imposing permanent injunctions and ordering Ascenergy and Gabaldon, jointly and severally, to pay disgorgement of $5,112,473, prejudgment interest of $197,217, and civil penalties of $1.55 million and $320,000 each, respectively. The final judgment also orders Alanah to pay disgorgement of $103,890 with prejudgment interest of $4,670. On May 23, 2017, the Honorable Chief Judge Gloria M. Navarro of the United States District Court for the District of Nevada entered the final judgment against Ascenergy, Gabaldon and Alanah. The SEC's continuing litigation is being conducted by David Reece and Keefe Bernstein of the Fort Worth Regional Office. Final Judgment - Ascenergy LLC, Joseph Gabaldon, and Alanah Energy, LLC

Related documents (1)