Released on May 8, 2009
Securities Division of the Saskatchewan Financial Services Commission (SFSC) issued a Temporary Cease Trade Order on May 8, 2009, against Oil International LLC., Trinidad Oil and Gas Corporation, Black Gold International Ltd., Gavin Morgan and John Andrew. The order expires on May 22, 2009, and may be extended.
SFSC has ordered these companies and individuals to cease trading and advising in securities and exchange contracts, and has also removed their right to use any exemptions under The Securities Act, 1988. Neither the companies nor the individuals are registered to trade or give advice in securities in Saskatchewan. Therefore, SFSC believed that it was in the public interest to issue the Temporary Cease Trade Order.
In late January 2009, the SFSC was alerted to the activities of Oil International LLC, a company supposedly based in Panama City, Panama, as well as two of its representatives, Gavin Morgan and John Andrew. Oil International had contacted investors in other provinces by phone and email, and eventually was in contact with Saskatchewan residents. Investors could email or call a toll-free number for information to invest in oil wells in Texas. Oil International is raising investment capital for Black Gold International, a company registered in Belize, with an office in Nassau, Bahamas. Trinidad Oil and Gas, based in Texas, is the oilfield management company operating under the direction of Black Gold. Investors are instructed to wire investment funds to an escrow account also in Texas.
"Our investigation has determined that Oil International has directed its marketing attention mainly at Canadian investors," SFSC Enforcement branch Deputy Director Ed Rodonets said. "We are aware that there have been a number of investors all across Canada, and in the words of the sales representatives, the Canadian response has been phenomenal. The SFSC has advised all the other provincial regulators of the activities of these companies and individuals, and will continue to work closely with them."
Anyone who is contacted by Oil International, Black Gold International, and Trinidad Oil and Gas, or any of its representatives is asked to contact Ed Rodonets of the Saskatchewan Financial Services Commission at 306-787-5850.
-30-
For more information, contact:
Ed Rodonets
Saskatchewan Financial Services Commission
Regina
Phone: 306-787-5850
Email: ed.rodonets@gov.sk.ca