From Staff Reports

MONTGOMERY – A recent press release stated District Attorney Robert L. Broussard of the 23^rd Judicial Circuit in Madison County and Joseph Borg, Director of the Alabama Securities Commission (ASC) announced another arrest in June indictments for violations of the Alabama Securities Act.

Gregory James Botolino was arrested in Florida on July 15 and is incarcerated on a $60,000 bond.

His arrest was the result of a Madison County Grand Jury indictment charging him with four counts of alleged violations of the Alabama Securities Act. Charges include one count of Securities Fraud by employing a device, scheme or artifice to defraud and three counts of Conspiracy to Commit Fraud in the Sale of a Security.

The securities fraud charge warrants a Class B felony under Alabama law with possible imprisonment up to 20 years. The Conspiracy charges are Class C felonies, carrying a possible punishment of not more than 10 years, nor less than one year and one day imprisonment and not more than a $15,000 fine per charge, upon conviction.

The indictment alleges that Botolino and others fraudulently asked for funds from investors to be used in a managed gold “buy-sell” program. ASC records also revealed that Botolino is not registered with the ASC to legally conduct securities business in Alabama, as required by the Alabama Securities Act.

On July 2, Hendrickx Toussaint was arrested in Decatur, Ga. on charges stemming from the same Grand Jury indictment.

Borg said the ASC’s Enforcement Division, along with the Federal Bureau of Investigation out of Birmingham, will continue to investigate the case.