Posts tagged: Alternate Energy Holdings
Payette County is being sued for approving a proposed nuclear power plant that critics say was actually just a stock-fraud scheme. “Payette County failed to prudently represent the public interest and directly injured the hardworking neighbors of the purported power plant site,” a group of 11 neighbors of the proposed plant site said in a statement. They've sued both the county and Alternative Energy Holdings Inc., along with the firm's two leaders, Don Gillispie and Jennifer Ransom; they're asking that all approvals for the project be reversed.
The lawsuit, filed in 3rd District Court in Payette County earlier this week, says the county's approvals, including a comprehensive plan change, zoning change and variance, “materially aided the Defendants in the fraud scheme by which Defendants raised millions of dollars.”
The county's approvals were the only sign of legitimacy for the project, the neighbors charge, saying, “Payette County allowed the Idaho Local Land Use Planning Act to be abused as part of a get-rich-quick scheme.” Notably, the plaintiffs' attorneys include the firm that won the Alamar Ranch case in which Boise County was hit with a $4 million judgment for an improper zoning decision that violated federal law. You can read the 63-page complaint here.
The head of a company seeking to build a nuclear power plant in Idaho has agreed to pay $450,000 to resolve a lawsuit with a group of angry investors, reports AP reporter Alex Morrell. Shareholders of Alternate Energy Holdings Inc. in late 2010 sued the company, Chief Executive Officer Don Gillispie and Vice President Jennifer Ransom, claiming they schemed to mislead investors about their compensation and manipulated the company's trading value; a Boise lawyer representing the investors said an agreement was reached in mediation last week, calling on the company to pay $450,000 by the end of June or face a $2 million penalty judgment. A federal judge must still approve the settlement; click below for Morrell's full report.
Here’s a news item from the Associated Press: BOISE, Idaho (AP) — The Securities and Exchange Commission has charged an Idaho company with fraudulently raising money to build a $10 billion nuclear power plant. The SEC on Thursday also asked a court to freeze the assets of Alternate Energy Holdings Inc., of Eagle, and two of its executives. The regulator alleges the company was involved in a scheme to enrich its chief executive at the expense of investors. The SEC says AEHI manipulated its stock price through misleading public statements that hid the profits by CEO Donald Gillispie and a senior vice president Jennifer Ransom. The SEC says it has records that Gillispie and Ransom secretly unloaded stock holdings and funneled the money back to Gillispie, who allegedly made six times the amount he claimed.
You can read the SEC’s complaint against AEHI here, which includes this statement, “AEHI and Gillispie have raised millions of dollars from individual investors in Idaho, elsewhere in the U.S., and Asia by making misleading statements about the viability of AEHI, which has no realistic possibility of building a multi-billion dollar nuclear reactor. AEHI has never had any revenue or product.” Click below for a full report from AP reporter Todd Dvorak.