2 Tulsa Men Sentenced In 'Extensive' Stock Manipulation Scheme

Friday, October 29th 2010, 5:14 pm
By: News On 6

TULSA, Oklahoma -- Two prominent Tulsa business men were sentenced Friday to several years in prison for their part in what authorities call an extensive stock manipulation scheme.

According to a U.S. District Court, Tulsa securities attorney G. David Gordon and Former CEO Richard Clark defrauded millions from investors from 2004 to 2006.

The scheme involved manipulating stock in two Tulsa companies, National Storm and Deep Rock Oil & Gas, and selling large amounts of shares after they had artificially inflated the stock prices.

U.S. Attorney Thomas Woodward says the two men also exploited the tragedy of Hurricane Katrina by touting investment opportunities purportedly created by the storm.

The two men were convicted on several wire and securities charges this past May.

Gordon was ordered to forfeit more than $43 million, including his $4.5 million residence, and spend 12 years in federal prison. Clark was sentenced to 15 years in prison, and forced to forfeit $43 million.

Two other men were also charged in the stock manipulation scheme. One is from Florida, the other from Dallas.