The Securities and Exchange Commission has charged Mark A. Plummer for misappropriating investor funds raised through Texas E&P Partners, Inc., his oil and gas operating company. Plummer has agreed to pay more than $500,000 to settle these charges.
According to the SEC’s complaint, filed in the United States District Court for the Northern District of Texas, Plummer founded and controlled Texas E&P and its affiliated entities. From February 2015 to April 2017, the company raised $6.1 million from retail investors by offering and selling interests in joint ventures formed to drill and operate two separate oil well projects.
The SEC claims that, contrary to representations made to investors, Plummer improperly spent nearly $400,000 of these investor funds for personal or improper business expenses, including entertainment, travel, retail expenses, and income taxes.
Plummer has agreed to settle the SEC’s charges by consenting to the entry of a final judgment that permanently enjoins him from violating the antifraud provisions of federal securities laws. He was ordered to pay $399,011 in disgorgement, $33,008 in prejudgment interest, and a $75,000 civil penalty.
The settlement is subject to court approval.