The Arizona Corporation Commission has ordered William Melvin Hawkins and Biomed Pharma Group, Inc. to jointly and severally pay $243,630 in restitution and a $30,000 administrative penalty for fraudulently offering and selling unregistered company stock.
The Commission found that Hawkins and Biomed Pharma Group sold unregistered Biomed stock while neither Hawkins nor Biomed were registered with the Commission as a securities salesman or dealer.
The Commission also found that Hawkins did not disclose to an investor that in 2007 the Commission revoked his securities salesman registration, ordered him to pay restitution and a penalty and prohibited him from selling unregistered securities in Arizona.
The Commission found that Hawkins misled an investor by making a personal guarantee on her investment even though Hawkins still owed more than a million dollars in restitution, could not find gainful employment, and had filed for bankruptcy.