SEC Charges Two Texas Advisors Over $155 Million Fraudulent Oil & Gas Offering

Posted on May 12th, 2023 at 1:14 PM
SEC Charges Two Texas Advisors Over $155 Million Fraudulent Oil & Gas Offering

From the desk of Jim Eccleston at Eccleston Law 

The Securities and Exchange Commission (SEC) has charged Roy Hill and Eric Shelly along with two entities under their ownership, Clean Energy Technology Association (CETA) and Freedom Impact Consulting (FIC), for allegedly organizing a fraudulent offering that raised nearly $155 million from at least 500 investors. 

The complaint was filed in the U.S. District Court for the Western District of Texas, which subsequently issued a temporary restraining order (TRO). The SEC alleges that Hill and Shelly offered investments in funds that were sponsored by FIC. Hill and Shelly informed investors that their funds would be used to purchase carbon capture units (CCUs), which CETA purportedly built and leased to oil and gas producers, according to the SEC.

Hill and Shelly additionally informed investors that FIC and CETA would pay returns by utilizing the revenues earned from operating the CCUs. However, the SEC alleged that Hill and Shelly falsely informed investors that the CCUs were patented and that one of the world’s largest oil and gas companies was a customer. The SEC’s complaint further alleges that CETA has not received any revenues from operating the CCUs while Hill and Shelly used new investors' funds to make quarterly Ponzi-style payments to earlier investors. To conceal the fraudulent offering, Hill and Shelly regularly sent falsified financial statements to investors, according to the SEC.  

 

Eccleston Law LLC represents financial advisors and investors nationwide in securities, employment, transition, regulatory and disciplinary matters.

Tags: eccleston, eccleston law

Return to Archive

TESTIMONIALS

Previous
Next

I have the best legal firm in the country to defend me. Awesome job!

Cindy C.

LATEST NEWS AND ARTICLES

October 17, 2025
FINRA Fines Oak Hills Securities for Private Placement Misconduct

The Financial Industry Regulatory Authority (FINRA) has censured and fined Oak Hills Securities Inc., an Oklahoma City brokerage, for multiple rule violations over five years.

October 16, 2025
FINRA Suspends Former Citigroup Advisor Over Undisclosed Business Activities

The Financial Industry Regulatory Authority (FINRA) has suspended former Citigroup representative Maximiliano Ramirez and fined him $5,000 for engaging in undisclosed outside business activities and investments.

October 15, 2025
SEC Accuses Florida Insurance Agent of $52 Million Unregistered Securities Scheme

The U.S. Securities and Exchange Commission (SEC) has filed a complaint against Florida insurance agent Charles D. Oliver, alleging he illegally sold about $52 million in unregistered oil and gas securities to roughly 50 retail investors, including retired seniors.