MSC Warns Manitobans on Vegas Waste-to-Fuel Company

Winnipeg - The Manitoba Securities Commission (MSC) is issuing an investor alert on Aureum Energy, a company operating in Las Vegas, Nevada, as well as Manitoba and British Columbia, which claims to be in the business of converting plastic waste into fuel. Aureum has actively solicited investors in Manitoba without authorization.

“Aureum has been persistent in seeking investments from Manitobans between $10,000 and $500,000 USD for a so-called ‘Energy Project,’” says Jason Roy, Senior Investigator with the MSC. “The company was promising a 35% annual return over 21-months.”
 

Following an investigation, MSC is issuing an Investor Alert naming Aureum Energy Corporation, due to non-compliance with registration and disclosure requirements. A quick check of aretheyregistered.ca shows they have never been registered to trade securities in Manitoba. They also have never filed a prospectus with MSC.

Manitoba residents that have been solicited by Aureum should contact MSC.

“At a minimum, this is a fairly complex, high-risk investment being offered by a company working outside of compliance with securities law,” says Roy. “We advise Manitoba investors to be extremely cautious with this type of offering.”

MSC suggests potential investors follow some basic advice before they invest in any project:

·       Start by checking an individual or company’s registration at aretheyregistered.ca

·       Research an investment before making a commitment

·       Look for investment fraud red flags such as promises of high returns with low risk, pressure to invest quickly, and inconsistent details

·       Never send money to anyone you only know from an unsolicited phone call or email

·       Never give out sensitive personal information online or over the phone

MSC suggests investors should make sure they thoroughly understand the details and risks of a potential investment, and whether it fits with their long-term financial strategy. Even legitimate products can be high-risk, and definitely not suitable for everyone. Take time to do your homework before you invest. Start by checking an individual or company’s registration at aretheyregistered.ca.

Members of the public are advised to contact MSC if they believe they have been targeted by any type of investment fraud attempt. MSC’s anti-fraud line is 1-855-FRAUD-MB.

The public can also visit recognizeinvestmentfraud.com for more information on common investment frauds and scams.