Richfield Man Charged with Sale of Unregistered Securities in Ohio 2023. Jerry A. Cicolani, Jr., 51, was charged in a criminal information with selling unregistered securities in which dozens of investors lost about $7 million, law enforcement officials said.
Cicolani worked to recruit investors to KGTA Petroleum, Ltd., which was operated by Kenneth A. Grant and others. Grant and others marketed the company to investors as a petroleum company that earned profits by buying and reselling various crude oils and refined fuel products.
Cicolani was a licensed registered representative with PrimeSolutions Securities, Inc., which had officers in Akron and was registered with the Financial Industry Regulatory Authority. Cicolani concealed his outside business interests from PrimeSolutions and had his commissions from KGTA paid to outside entities, according to the information.
KGTA issued securities which were required to be issued with the Securities and Exchange Commission. At no time did Cicolani, or anyone to his knowledge, file any documentation related to the KGTA with the SEC, according to the information.
Cicolani received approximately $5 million in commission fees for enlisting 39 investors, who collectively lost $7 million from their investments with KGTA in unregistered securities, according to the information.
In a related case, Kelly C. Hood, 36, of Naples, Florida, was charged with one count of structuring. Hood, at Cicolani’s direction, structured commission payments made to himself and Cicolani for the sale of unregistered securities of KGTA. This was done to evade bank reporting requirements, according to the information.
Grant has previously pleaded guilty to one count of conspiracy to commit wire fraud and securities fraud and one count of money laundering for his role in the scheme. He is scheduled to be sentenced May 20.
Related Federal Cases
- Jerry A. Cicolani, Jr. Charged with Sale of Unregistered Securities in Ohio 2023 · Florida
- Jerry A. Cicolani, Jr. Charged with Sale of Unregistered Securities in Ohio 2023 · Florida
- Jerry A. Cicolani, Jr. Charged with Sale of Unregistered Securities in Ohio 2023 · Florida
- Jerry A. Cicolani, Jr. Charged with Sale of Unregistered Securities in Ohio 2023 · Florida
- Jerry A. Cicolani, Jr. Charged with Sale of Unregistered Securities in Ohio 2023 · Florida
Key Facts
- State: Ohio
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release ↗
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