DES MOINES, Iowa (AP) - Iowa’s insurance commissioner is ordering a Texas company to repay over $2 million he says was defrauded from Iowa residents.
Commissioner Nick Gerhart announced Thursday that he had ordered Carson Energy, Inc., to repay money to 14 Iowa residents. A news release says they were defrauded with “unregistered gas and oil investments.” Gerhart’s office seeks to protect people from fraud.
The order names the Austin-based company and three current or former staffers. The company may request a hearing on the charges.
Senior Vice President Michael Johnson says the accusations are false. He says the company will fight the charges and expressed confidence it would be resolved.
According to the order, company representatives called prospective Iowa investors, touting a “low risk, high potential oil and gas project.”
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