2007
Blake Lang Cummings of Allen, Texas, pled guilty to conspiracy to commit securities fraud on July 31, 2007, in the U.S. District Court, Eastern District of Texas, Sherman Division, Cause No. 4:07CR142. Beginning in May 2002 and continuing through July 2005, Cummings, acting as a sales agent for Americana Oil & Gas Corp., Ameri-Q Energy, Inc., and Prairie Resources, Inc., which raised in excess of $50,219,049 from investors. Investors directed funds to the companies with the expectation that oil and gas programs would be drilled and completed as proposed in a particular program offering brochure and understood returns received on their investment to be derived from oil and gas production from their program wells. Cummings misrepresented that wells had been drilled when they had not, that wells were producing oil and gas when they were not, that investor returns were derived from well production when they were not, and that investor funds were used for costs associated with a well program when they were used for other purposes. Cummings will be sentenced at a later date.