Oil Scam Fools 80 Investors! Duo Owes $8 Million!

SEC v. Joseph M. Laura, Anthony R. Sichenzio — U.S. Securities and Exchange Commission Litigation Release No. 26238, dated February 5, 2025.

The SEC charged Joseph M. Laura and Anthony R. Sichenzio with defrauding approximately 80 investors by selling securities in a company that falsely claimed exclusive rights to a crude oil processing technology. Judgments were entered ordering them to pay over $8 million in disgorgement, interest, and civil penalties.

In Plain English

Imagine someone told you they had a secret, amazing way to process oil that would make a company super rich. They convinced about 80 people to give them money to invest in this company. But, the company's claims were fake, and the people running it took the investors' money for themselves. Now, a court has ordered the two main people involved to pay back over $8 million to make up for the losses and as a penalty.

Disclaimer: all facts are drawn from the SEC's own filings; the claims described are allegations unless and until a court rules or the parties settle, and some cases end in dismissal.

How the Alleged Scheme Worked

1. The False Promise Between 2013 and 2017, Joseph M. Laura and Anthony R. Sichenzio allegedly promoted a company that claimed to have exclusive rights to a special crude oil processing technology. This technology was falsely presented as a path to significant profits.
2. Targeting Investors Laura and Sichenzio then approached approximately 80 investors, convincing them to put their money into this company based on the fraudulent claims about its technology and business prospects.
3. Misappropriating Funds Instead of using the investor funds for the purported oil processing business, the defendants allegedly misappropriated the money for their own purposes, defrauding the investors.
4. SEC Investigation and Complaint The SEC investigated these activities and filed a complaint on September 7, 2018, charging Laura and Sichenzio with violating various antifraud and broker-dealer registration provisions of federal securities laws.
5. Court Orders Payments On January 16, 2025, the U.S. District Court for the Eastern District of New York entered judgments against Laura and Sichenzio. The court ordered them to pay over $8 million in total.
6. Individual Financial Penalties Specifically, Laura was ordered to pay $3,431,860 in disgorgement, $1,732,128 in prejudgment interest, and a $292,016 civil penalty. Sichenzio was ordered to pay $1,629,369 in disgorgement, $822,375 in prejudgment interest, and a $165,689 civil penalty.

The Enforcement Action

On January 16, 2025, the U.S. District Court for the Eastern District of New York entered judgments against defendants Joseph M. Laura and Anthony R. Sichenzio, ordering them to pay over $8 million in disgorgement, prejudgment interest, and civil penalties for their roles in an offering fraud. The SEC's complaint, filed September 7, 2018, alleged that between 2013 and 2017, Laura and Sichenzio defrauded approximately 80 investors and misappropriated funds through sales of securities in a company that falsely claimed exclusive rights to a crude oil processing technology. Laura was ordered to pay $3,431,860 in disgorgement, $1,732,128 in prejudgment interest, and a $292,016 civil penalty. Sichenzio was ordered to pay $1,629,369 in disgorgement, $822,375 in prejudgment interest, and a $165,689 civil penalty. The judgments conclude the litigation in the District Court.

Named in this action: Joseph M. Laura, Anthony R. Sichenzio.

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