Oil and Gas Company and Founder Plead Guilty to Ponzi Scheme

Posted on April 30th, 2015 at 2:52 PM
Oil and Gas Company and Founder Plead Guilty to Ponzi Scheme

From the Desk of Jim Eccleston at Eccleston Law LLC:

The SEC accused GC Resources, LLC and its owner and sole operator, Brian J. Polito, of defrauding investors through the sale of interests in oil and gas wells that the company never owned.

The SEC alleges that GC Resources, through Polito, raised approximately $11.8 million by creating a fake agreement with a well-known oil company that purported to give GC Resources the right to sell interests in certain oil wells. Polito forged signatures on the false contract and used it to lure investors to purchase interests in the wells GC Resources claimed to own. Polito then used investor money for Ponzi-type payments back to investors and to purchase luxury cars, designer watches, and exotic vacations for himself.

The attorneys of Eccleston Law LLC represent investors and advisers nationwide in securities and employment matters. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services.

Related Attorneys: James J. Eccleston

Tags: SEC, Jim Eccleston, Eccleston Law, Oil and Gas, GC Resources, Brian J. Polito

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