TDCI Cites Murfreesboro-based Businesses, Operator for Securities Fraud

Wednesday, December 07, 2016 | 9:04am

NASHVILLE – The Tennessee Department of Commerce & Insurance (TDCI) announces disciplinary action against two Murfreesboro-based businesses and their principal for violations of the state’s securities laws.

Migdalia Freyre (also known as Mig Christian), a Tennessee resident with the last known address of 1718 Pennington Drive in Murfreesboro, operated New Horizons Financial Services, LLC and MJ Management. Freyre and both businesses were cited for engaging in securities fraud, selling unregistered securities, and transacting securities business without being registered.

“We will continue to take action against those found violating Tennessee’s securities laws,” said TDCI Assistant Commissioner for Securities Frank Borger-Gilligan. “We remind investors that they can and should reach out to our department to verify the licensure status of the securities professionals they plan to do business with.”

Freyre failed to inform Tennessee investors that neither she, nor her business entities were registered to sell securities in Tennessee at the time she solicited and received their investments. Freyre also engaged in a scheme to defraud investors by failing to return investments and accrued interest; by refusing the investors’ requests for information and/or giving false promises and contrived excuses to the investors; and by relocating offices without notice and otherwise attempting to evade obligations to investors. These actions constitute securities fraud and violated TENN. CODE ANN. § 48-1-121(a)(1) and (2).

A Final Order imposes $50,000 in civil penalties against Freyre, New Horizons, and MJ Management, and permanently bars them from conducting securities transactions in the State of Tennessee.

Tennesseans are encouraged to visit TDCI’s website where they can inspect disciplinary actions and verify licenses of securities and insurance professionals.

If you suspect that you might be a victim of securities or insurance fraud, or if you would like to file a complaint or speak with an investigator, please contact the Tennessee Securities Division – Financial
Services Investigations Unit at (615) 741-5900. To file a complaint online, visit https://tn.gov/commerce/article/securities-file-a-complaint.

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