Sean Patrick Riley: Indicted

Feb 22

A Bexar County grand jury indicted Sean Patrick Riley of San Antonio on Feb. 22 on  was indicted Feb. 22 on a charge of second-degree felony securities fraud and third-degree charges of felony theft and felony money laundering.

Riley was indicted for allegedly defrauding individuals who bought investments in a single-well oil drilling project. According to the indictment, Riley used investor funds to pay his personal expenses and to repay previous investors in his oil and gas ventures.

In 2015, the Texas Securities Commissioner entered an Emergency Cease and Desist Order against Riley and Petro-San Resources LLC. Riley was the president and managing member of the company.

According to the order, Petro-San Resources and Riley offered to sell unregistered oil and gas investments in Caldwell County. The order was Riley's third regulatory sanction, following a 2012 cease and desist order by the Pennsylvania Securities Commission and a 2013 order by the Georgia Securities Commissioner, both for selling unregistered oil and gas interests to unqualified investors.

In 2005, Riley pleaded guilty in Harris County State District Court to a state jail felony for promotion of a pyramid scheme.