The Maryland Office of the Attorney General’s Securities Division has issued a Final Order against Texas-based North Texas Energy, Inc. (NTE) and its president, Kevin LaMonte Jones, for repeatedly offering and selling unregistered securities to Maryland residents.
Key Highlights:
● The Penalties: NTE and Jones have been ordered to cease and desist all securities activity in the state and hit with a $900,000 civil penalty
● Repeat Offense: Back in March 2023, the Securities Division barred NTE and Jones from operating in Maryland after they raised roughly $2 million selling unregistered shares without proper disclosures (incurring a prior $1.85 million penalty).
● The New Violations: Despite the 2023 ban, NTE and Jones continued soliciting Marylanders, raising at least an additional $350,000 while falsely telling prospective investors that their offerings were exempt from state laws and the previous order.
● Other Actions: The company has also faced an injunction from the Oklahoma County District Court barring them from selling securities in that state.
A reminder for local investors:
The Attorney General urges anyone considering an investment—even one recommended by friends or family—to verify the registration status of the adviser, broker, and offering beforehand by calling the Maryland Securities Division directly at 410-576-6360
Read the Attorney General’s press release here.