ALABAMA SECURITIES COMMISSION
770
WASHINGTON AVE, SUITE 570
MONTGOMERY,
ALABAMA 36130-4700
Telephone: (334) 242-2984 or
1-800-222-1253. Fax: (334) 242-0240
Email: asc@asc.alabama.gov Website: www.asc.state.al.us
For Immediate Release
MOBILE, ALABAMA, (July 28, 2004) Joseph P. Borg, Director Alabama Securities Commission, and John Tyson, District Attorney, 13th Judicial Circuit in Alabama announced today the arrest and revocation of the bonds of Thomas E. McCray and Inez S. McCray of Mobile, Alabama. Thomas and Inez McCray were initially arrested by Agents of the Alabama Securities Commission on May 7, 2004 and were charged with one count each of selling unregistered securities and selling securities while not registered as a securities agent in the state of Alabama. The charges were brought as a result of a joint investigation conducted by the Mobile County District Attorney's office and the Alabama Securities Commission. The McCrays were released from custody on the same day of the arrest after each posted a $200,000.00 bond.
On July 27, 2004, Thomas and Inez McCray appeared
in Mobile District Court for a
preliminary hearing on the charges. After
hearing arguments, District Court Judge Charles McKnight found that probable cause existed to refer the charges to the Mobile County
Grand Jury. During the hearing Judge
McKnight also heard testimony and arguments
on District Attorney Tyson's
motion to revoke the bonds of Thomas and Inez McCray. Assistant District Attorney Martha Tierney
presented evidence showing that Thomas
and Inez McCray continued to
commit felony securities violations while free on bond. Judge McKnight revoked the bonds of Thomas
and Inez McCray and remanded the
Defendants to the custody of the
Mobile County Sheriff.
The McCrays are charged with selling unregistered securities in the form of
certificates
of ownership in an entity known
as Health & Wealth Coop in Sharpsburg, Kentucky. On May 6, 2004, District Attorney
Tyson's office began receiving complaints alleging that Thomas and Inez
McCray were offering and selling investments issued by Health & Wealth
Co-op in Mobile County, Alabama. The
Complainants alleged that the McCrays held meetings at their home in Mobile,
Alabama, promoting Health & Wealth Coop. During these meetings the
McCrays represented that a deposit or investment, with Health & Wealth Coop would pay investors monthly interest ranging
from 6.25% to 12.5%.
It is also alleged that Thomas and Inez McCray told potential investors that
Health & Wealth used investor money to trade international currency. Profits from the international
currency trading were the source of
the represented monthly interest payments. During the hearing District Attorney Tyson's office argued that to date, no evidence has been found of
the trading of international
currency by Health & Wealth Coop.
The joint investigation into the activities of Health & Wealth Coop continues. Director Borg and District Attorney Tyson urged anyone who has invested or made deposits with Health & Wealth Coop to contact either the Mobile County District Attorney's office or the Alabama Securities Commission.
FOR ADDITIONAL INFORMATION CONTACT:
John M.
Tyson, District Attorney, Mobile County (251) 574-8400
Martha
Tierney, Assistant District Attorney, Mobile County (251) 574-3307
Dan Lord, Education and Public Affairs, Alabama Securities Commission (334) 353-4858
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ALABAMA SECURITIES COMMISSION
770
WASHINGTON AVE, SUITE 570
MONTGOMERY,
ALABAMA 36130-4700
Telephone: (334) 242-2984 or
1-800-222-1253. Fax: (334) 242-0240
Email: asc@asc.alabama.gov Website: www.asc.state.al.us