Office of Maryland Attorney General J. Joseph Curran, Jr.

September 11, 2000 Media Inquiries: Sean Caine 410-576-6357


Baltimore - Attorney General J Joseph Curran, Jr. announced today that his office's Securities Division has issued a Summary Order to Cease and Desist against a Prince George's County woman and several companies that she owns or manages, charging them with violating the Maryland securities laws by raising millions of investor dollars with promises of high interest rates and guaranteed repayment of principal.

According to the order issued by the Maryland Securities Commissioner, Seleta J. Nelson, of 11907 Saint Francis Way, Mitchellville, Maryland, Nelson and Associates, Seleta J. Nelson, LLC, and Nelson Finance, Inc. are ordered to cease and desist from selling unregistered securities, acting as unregistered securities brokers or investment advisers and from employing a scheme or device to defraud another person. The order alleges that Nelson and her companies have violated Maryland law by offering and selling unregistered investments, acting as an unregistered securities agent and investment adviser, and making material misrepresentations and omissions in the offer and sale of securities. Ms. Nelson and the companies she operates have 15 days in which to answer the allegations in the complaint and to request a hearing.

Curran's Securities Division alleges that Nelson's company Seleta J. Nelson, LLC has outstanding obligations of about $23 million to investors who were promised returns of as much as 240% in one year. Nelson Finance has recently raised as much as $800,000 from investors with promises of at least 120% return in a year. According to the Summary Order, she has used this money, in part, to provide zero interest loans to several churches, friends and family, to purchase houses in her own name, and to fund a brokerage account in her own name. Curran alleges that since about 1996, more than 500 investors participated in Nelson's investment programs with Nelson and Associates, Seleta J. Nelson, LLC, and Nelson Finance, Inc.

"We had to issue a Summary Order in this case because Ms. Nelson has continued to raise money from unsuspecting investors, even after we had warned her of the probable violations of the Securities Act," said Attorney General Curran. "By issuing a summary order, we can put a stop to these violations."

Curran emphasized that the Securities Division's investigation of this matter is continuing and urges anyone who invested funds with Ms. Nelson or her companies or who has information concerning their investment programs, to call the Securities Division of his office at 410-576-6337.

Curran reminded investors to call the Securities Division at 410-576-6360 before they invest to find out whether their investment adviser, broker and securities are registered. Even when an investment program looks reasonable, and friends and family trust the promoter, it's better to take a few minutes to verify the status of the promoters.