May 14
2008

William Everett Durkee, of Dallas, Texas, and St. Petersburg, Florida, pled guilty to securities fraud in the 366th District Court of Collin County, Texas, Cause No. 366-82428-07 on May 14, 2008. Durkee had been charged with selling working interests in oil and gas leases to investors in Texas and other states and committing securities fraud in connection with these sales by failing to disclose that: (1) he was previously convicted of mail fraud in U.S. District Court, Eastern District of Texas, Sherman Division, Cause No. 498-CR-38, on or about December 26, 1998; (2) the Texas Securities Commissioner had issued an Emergency Cease and Desist Order against him and Aransas Oil Company, Inc. styled In the Matter of Aransas Oil Co., Inc.; William Everett Durkee; Joan O'Briant; Richard Ranspot; and George Houseman, Order No. ENF-05-CDO-1588, on May 31, 2005; (3) the Texas Securities Commissioner had issued an Emergency Cease and Desist Order against the Defendant and Aransas Oil Company, Inc. styled In the Matter of First American Operating Co., a/k/a First American Operating, a/k/a First American; David Jakobot; and Bill Durkee, Order No. ENF-04-CDO-1553, on January 30, 2004; and (4) more working interests in the Mallet Land & Cattle Lease Project had been sold to purchasers than acquired by Aransas Oil Company, Inc. or Mineral Leases of the Southwest, Inc. Durkee was sentenced to 35 years confinement in the Institutional Division of the Texas Department of Criminal Justice.