Forum staff reports, Published July 31 2012
North Dakota orders company to stop offering securitiesFARGO – North Dakota Securities Commissioner Karen Tyler has ordered Freedom USA Investing LLC and its agent, James Young of Fargo, to cease and desist from offering and selling securities in the state.
According to a statement released by the North Dakota Securities Department:
Freedom USA Investing and Young offered to sell real estate investment contracts through Internet advertising to North Dakota residents in violation of state laws.
The securities offered have not been registered with the Securities Department, and Freedom USA Investing and Young are not registered as brokers or agents in the state.
Young said Tuesday that prior to being contacted by the media he was unaware of the order.
He said that after talking to the Securities Department, he deleted a page on the company website that solicited people to invest in the company, which he said is in the business of purchasing mortgage notes from banks.
Kelly Mathias of the Securities Department said part of the cease and desist order included a requirement that any real estate investment contracts sold to investors in North Dakota be rescinded, meaning any such investors would have to have their investment returned to them.
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