Tyler L. Andrews

U.S. SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 25702 / April 28, 2023

Securities and Exchange Commission v. Tyler L. Andrews, No. 1:23-cv-1063 (D. Colo. filed April 27, 2023)  

SEC Charges Colorado Man with Fraudulently Selling Promissory Notes for Luxury Travel Business 

The Securities and Exchange Commission charged Tyler L. Andrews for making false statements while raising over $1 million from investors in an unregistered offering of securities for a luxury travel business, Platinum Travel and Entertainment, LLC, whose owner Gregory A. Ciccone fraudulently diverted all the money raised.  The SEC previously charged Platinum and Ciccone with fraud.
According to the SEC’s complaint, which was filed today in the United States District Court for the District of Colorado, Andrews offered to sell promissory notes to 17 investors for the represented purpose of securing hotel reservations as part of Platinum’s high-end luxury travel business.  Among other things, the complaint alleges that Andrews made several false statements to investors, including that Ciccone was an impressive entrepreneur and successful businessman, when Andrews knew Ciccone was previously convicted of fraud; that the promissory notes were prepared by an attorney who conducted due diligence; and that the loans were secured by collateral.  In addition, the complaint alleges that Andrews failed to disclose that the travel concierge business was not making timely payments on the promissory notes.

The complaint charges Andrews with violating the antifraud provisions of Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, as well as the securities registration provisions of Sections 5(a) and (c) of the Securities Act.  Without admitting or denying the SEC’s allegations, Andrews consented to permanent injunctions, $14,990 of disgorgement with prejudgment interest, a $75,000 civil penalty, and a ten-year officer and director bar.  The settlement is subject to court approval.

The SEC’s investigation was conducted by Matthew L. Skidmore and supervised by Mary S. Brady, Nicholas P. Heinke, and Jason J. Burt, with the assistance of trial counsel Leslie J. Hughes under the supervision of Mr. Burt, Mr. Heinke, and Gregory A. Kasper.