Former Poseidon Concepts executive ordered to pay $750K in fines and costs

The Alberta Securities Commission is ordering the former U.S. senior sales executive for failed oilfield services firm Poseidon Concepts to pay $750,000 in fines and costs.

The regulator says Joseph Kostelecky is also banned for life from taking part in securities markets.

An ASC panel in March found him guilty of fraud and failing to maintain proper corporate records.

Poseidon was created by Open Range Energy in November 2011 to develop and market its oilfield liquid storage systems that resembled gigantic above-ground swimming pools.

The value of the new company's shares soared, but fell quickly after February 2013 when it announced that it had incorrectly recorded about $100 million in revenue in the first nine months of 2012. Its assets were later sold off by a court-appointed monitor for less than its secured debt, leaving nothing for shareholders.

Last year, three of Poseidon's other executives agreed to pay fines and accept trading bans after admitting they had failed to file financial statements in accordance with proper accounting principles.

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