July 31, 2008
Creative Chicken Shut Down
By Kathy Parker, Daily Times, Pryor, Okla.
Jul. 31--Creative Chicken Corporation, an outfit which claimed to have secured a site in Westville for a plant to turn litter into fertilizer has been ordered to cease and desist operations by the Arkansas Securities Commissioner.
CCC and its chairman Owen Laughlin were ordered to stop offers and sales of unregistered securities on the Internet. Abshure found CCC, based in Siloam Springs, Ark., has published advertisements claiming it has developed a method to process chicken litter into an environmentally-friendly fertilizer.
In an earlier interview with The Daily Times, both Laughlin and Maxine Jenkins whom Laughlin said was running the operation, said they expected the plant to be operational by spring 2009. Both said a site had been secured to build the plant at Westville.
CCC information on the Internet said this plant would be able to use about half the poultry litter generated in northwest Arkansas and northeast Oklahoma to make both bulk and bagged fertilizer which would be dry, odorless and have fixed nitrogen. The Web site offered a plan to producers to buy their litter.
Abshure found that CCC and Laughlin were using the company's Web site to offer a minimum of $7,500 and a maximum of $50,000,000 of the company's stock in violation of the Arkansas securities laws. Abshure also ordered his staff to continue to investigate the matter to determine if further action is necessary.
"The Internet allows individuals or companies to communicate with a large audience without spending a lot of time, effort, or money," said David Smith, Chief Counsel for the Arkansas Securities Commission. "Anyone can reach tens of thousands of people by building an Internet Web site. It's easy for fraudsters to make their messages look real and credible. Scam artists continue to rush to the Internet to peddle their unregistered securities and fraudulent schemes."
The facts stated in the Arkansas cease and desist order say CCC is a corporation organized and existing under the laws of Nevada with Laughlin Associates, Inc. as the registered agent. The Arkansas Secretary of State has not issued a Certificate of Authority for CCC to do business in Arkansas as a foreign corporation.
The order further states evidence demonstrates offering CCC stock poses a risk to potential investors and that CCC and Laughlin should stop publicly offering these unregistered securities for sale.
This order will remain in effect until it is modified or vacated by the Arkansas Securities Commissioner.
The Oklahoma Securities Commission said Wednesday that Creative Chicken Corporation has not filed for a license to sell their stock in Oklahoma. There is a very slight chance CCC might be exempt in Oklahoma, but companies who are generally soliciting investors do not fall into that category.
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Copyright (c) 2008, Daily Times, Pryor, Okla.
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