Secretary of state calls out Branson scammers

Missouri Secretary of State Jason Kander has issued a cease-and-desist order against two Branson men who allegedly sold sham investments to at least nine investors.

According to a news release from Kander's office, Michael Leeper Jr. and Eugene Barnes, who operated AJ&J Investment Group Inc., sold investments they called enhanced premium structured notes, or ESPNs. The company and owners gained roughly $282,000 from the sale of the ESPNs, Kander said.

AJ&J Investment Group allegedly promised investors returns of 12 to 15 percent within nine months. But, according to Kander's office, none of those notes have been paid and the funds were instead used to finance some of AJ&J's advertising and legal costs.

The business owners solicited investors through investment seminars, emails and online advertising.

Kander's March 5 action prohibits Leeper and Barnes from selling ESPNs in Missouri, and the two could face multiple charges of securities fraud. Kander also is seeking an order requiring the men and the company to pay restitution to harmed investors.

The secretary of state's securities division may issue enforcement orders, administrative actions or court orders to prohibit violations of investor laws, according to its website.