Cease, desist order filed against Fulton plant

An investment scam involving a never-built biodiesel plant in Fulton is the focus of a cease and desist order from Missouri Secretary of State Jason Kander.

The order against Boyd A. Ware of Centralia and his company, Central Missouri Energy LLC, was issued for offering and selling securities without being registered with Kander's office, deceiving investors with phony information and scamming Missourians out of nearly $200,000.

An investigation by Kander's office revealed that Ware founded CME in 2006 for the purpose of operating a biodiesel plant in Fulton. The order states CME began offering investments around August 2006 for a minimum investment of $25,000. Investors were told the funds would be used to construct a biodiesel facility and meet the working capital needs of the plant. However, according to the order, the biodiesel facility has never been built after more than seven years.

According to the order, at least four Missouri residents invested at least $182,500 with Ware for CME between 2006 and 2009. Ware led investors to believe CME had secured funding guarantees from the U.S. Department of Agriculture and was engaged in partnership negotiations with companies in Illinois and Mexico to develop biodiesel.

Kander's office said Ware told investors CME was using "several reputable law firms" to review the business practices of CME. In fact, he was paying Mexican national Manuel Camargo, who claimed to be an attorney.

According to the order, CME funds from investors were used to pay more than $4,000 for Ware to make trips to Mexico, at least $22,000 for payments to Camargo's ex-wife, at least $150,000 to Camargo and more than $50,000 in payments to a second company owned by Ware.

The order prohibits Ware and CME from offering or selling securities in Missouri and seeks restitution, penalties and the cost of the investigation.