ALABAMA SECURITIES
COMMISSION
770 WASHINGTON AVE, SUITE 570
MONTGOMERY, ALABAMA 36130-4700
TELEPHONE (334) 242-2984
1-800-222-1253
FAX (334) 242-0240
E-MAIL asc@asc.state.al.us
FOR IMMEDIATE RELEASE
MONTGOMERY,
ALABAMA (December 18, 2001) The
Honorable Van Davis, District Attorney, 30th Judicial Circuit, St.
Clair County, Alabama and the Honorable Joseph P. Borg, Director, Alabama
Securities Commission announced today that William Bryan Kash appeared before
the Honorable Judge William Hereford, December 12, 2001, to determine
restitution and payments to victims of a securities fraud scheme.
At
the restitution hearing Kash was ordered to pay $1,375,433.24 to victims. He must make a monthly payment of $500 and
periodic reviews will determine if the payment will be raised. Judge Hereford encouraged Kash to seek
employment commensurate with his job skills and experience to produce an income
that will accommodate the payment of restitution. It is estimated that the victims may only receive about ten cents
back for each dollar invested.
Kash
previously pled guilty to the offense of selling unregistered securities in
violation of Ala. Code §8-6-4 (1975), September 26, 2001. Kash received a three year sentence, which
was suspended. His requirement of
probation is to pay restitution to all victims, not just those on the
indictment.
Kash,
a former stockbroker from Pell City, was previously indicted by a St. Clair
County Grand Jury for misrepresentation, failure to register to sell securities
and for selling unregistered securities in Alabama. Kash collected money from investors seeking a profit in the
investment of viaticals. The viatical
business makes money by purchasing life insurance policies from people who have
a terminal illness at a substantial discount from the face amount of the
policy.
- more -
Buying
interests in viatical contracts can be risky.
With advances in medicine and medical technology people who were once
diagnosed with short life spans may live much longer. Also, the premiums on life insurance policies supporting
investments must be paid so the policies will remain in effect until the
insured person dies. Promises of
‘guaranteed’ returns or a description as a ‘no risk’ investment are false.
The
Director of the Alabama Securities Commission (ASC) cautions potential
investors to thoroughly check out any investment opportunity. Contact ASC for inquiries regarding
securities broker-dealers, agents, investment advisors, and investment advisor
representatives, the registration status
of securities, to report suspected fraud, or obtain consumer
information:
Call:
1-800-222-1253 Fax: 1-334-242-0240.
Email:
asc@asc.state.al.us.
Write:
Alabama Securities Commission,
770 Washington Ave., Suite 570,
Montgomery, Alabama 36130-4700
The
internet is a great source of free investment information. A good starting point is the new ASC website
at: www.asc.state.al.us.
###
FOR
ADDITIONAL INFORMATION CONTACT:
Joseph
P. Borg
Director
Daniel
G. Lord
Education
and Public Affairs Manager