Eric Gemelli and his company, Market4Caster, LLC, based in Golden, Colorado, have admitted to selling millions of dollars in securities without a license, violating the Colorado Securities Act. The admission comes as part of a stipulated agreement with the Colorado Securities Commissioner.
Denver District Court Judge Christopher Jay Baumann approved the agreement and ordered that both Gemelli and Market4Caster are barred from offering or selling any securities in Colorado or to Colorado residents for 10 years. They are also prohibited from acting as investment advisers or representatives in the state during this period.
The case began when Colorado Securities Commissioner Tung Chan filed a civil complaint on November 6, 2024. The complaint alleged that Gemelli and his company sold more than $3 million in unregistered investments involving penny stocks and mining operations while unlicensed. It was further alleged that Gemelli targeted friends, students, and women he met through dating apps.
Additionally, the complaint stated that Gemelli did not disclose earning unusually high commissions from these sales and failed to inform investors about two cease-and-desist orders issued against him by California for similar violations.
The settlement was reached weeks before trial was set to begin. As part of the agreement, Gemelli admitted to earning $1 million in commissions and compensation from these activities but dissipated those funds.
“Mr. Gemelli is not welcome to sell securities in Colorado for the next decade. Any violations of this order will be pursued to the fullest extent of the law,” said Commissioner Chan.
The Division of Securities advises consumers to check the background of anyone offering investment opportunities by conducting an internet search and visiting Investor.Gov. Investors can also verify if an investment is registered using the U.S. Securities and Exchange Commission’s EDGAR database.
Those who believe they may have been involved in an investment scam are encouraged to contact the Division of Securities at Dora_SecuritiesWebsite@state.co.us or call 303-894-2320.
