JEFFERSON CITY, Mo. -- Secretary of State Jay Ashcroft’s Securities Division issued a consent order against Roy Harris Jr. and his companies Orthogistic Labs Inc., Orthogistic LLC and Amniogistic LLC after they sold more than $1 million in unregistered, non-exempt securities to at least 25 investors.
Harris, who is from Rogersville, Missouri, and operated in Missouri and Texas, was previously ordered to cease and desist the unlawful sale of securities by the division in March 2018.
From about June 2014 to May 2017, Harris solicited at least 25 investors to invest more than $1 million in unregistered stock in his companies. Prior to the investments, Harris failed to disclose to investors that he was convicted of securities fraud, deceptive business practices and felony stealing in 2002; more than $700,000 in judgments; or a federal tax lien of more than $845,000.
The division referred the case to the U.S. Postal Inspection Service, resulting in a federal criminal case brought by the U.S. Attorney’s Office. Harris pled guilty to wire fraud on Feb. 27, 2019, and is currently awaiting sentencing.
"Mr. Harris not only was not registered or affiliated with a registered firm, but had a prior criminal record involving securities fraud, deceptive business practices and felony stealing," Securities Commissioner David M. Minnick said. "We go after wrongdoers when we become aware of their deceitful schemes and work closely with federal, state and local law enforcement to bring them to justice."
The consent order bars Harris and his companies from operating unregistered in the state of Missouri. The division also ordered Harris and his companies to pay $779,183 in restitution to the investors and an additional $10,000 to the Investor Education and Protection Fund if restitution is not paid in full within five years.
Ashcroft urges all investors to know the risks. If you have any questions about an investment opportunity or wish to check the background and registration status of a financial adviser, please call the toll-free investor protection hotline at 800-721-7996, or go online to www.missouriprotectsinvestors.com to file a complaint.