SEC Charges Fuel Cell Company with Defrauding Investors

Posted on February 23rd, 2017 at 8:49 AM
SEC Charges Fuel Cell Company with Defrauding Investors

From the Desk of Jim Eccleston at Eccleston Law LLC:

The SEC charged a California-based penny stock company, along with four corporate officers, with misleading investors about the research, development, and profitability of its purported business to manufacture power generation products such as fuel cells.

Terminus Energy, Inc. raised approximately $7.9 million from investors. The officers claimed to have a viable prototype capable of being sold and earning revenue but in fact did not have the fuel cell technology or the funding to validate their claims. The SEC alleges that the officers instead were converting substantial amounts of investor funds for their own personal use.

The SEC complaint also alleges that the company failed to disclose to investors that Terminus’ operations manager was a convicted felon who went to prison for securities fraud and was barred from participating in penny stock offerings. 

The attorneys of Eccleston Law LLC represent investors and advisers nationwide in securities and employment matters. The securities lawyers at Eccleston Law also practice a variety of other areas of securities for financial investors including Securities FraudUnauthorized TradingBreach of Fiduciary DutyRetirement Planning Negligence, and much more. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today. 

Related Attorneys: James J. Eccleston

Tags: Eccleston, Eccleston Law, Eccleston Law LC, James Eccleston, SEC, Fuel Cell Company, defrauding investors, penny stock company, corporate officers, investors, profitability, fuel cells, Terminus Energy Inc, revenue, investor funds,

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