A Licking County Court of Common Pleas Jury yesterday convicted Theodore E. Mong II of 79 felony counts involving securities fraud. Mong, of Columbus, is the former President of Liberty Bell Association, Inc. in Newark, Ohio. The convictions follow an extensive investigation conducted by the Ohio Department of Commerce's Division of Securities in conjunction with the Newark Police Department.

The Division of Securities' investigation uncovered that Mong, through Liberty Bell Association, Inc., sold promissory notes to approximately 40 investors located primarily in Licking County, who were defrauded out of approximately $1.5 million.

Mong was convicted of 32 counts of selling securities without a license (fourth degree felony), 31 counts of selling unregistered securities (fourth degree felony), 7 counts of misrepresentations in selling securities (fourth degree felony), 7 counts of securities fraud (fourth degree felony), one count of receiving stolen property (second degree felony) and one count of corrupt activities (first degree felony).

Judge Jon R. Spahr has set sentencing for 3:45 p.m., April 23, and has given victims and the Division of Securities an opportunity to provide the court with impact statements prior to sentencing. Also, yesterday, the judge revoked Mong's recognizance bond. Mong was taken into custody until sentencing.

The Division of Securities suspended Mong's right to sell securities in Ohio on October 4, 1995. Mong entered into a consent agreement eight days later which confirmed the suspension order. On February 28, 1996, the Division filed a complaint for injunctive relief in the Franklin County Court of Common Pleas seeking to enjoin Mong and Liberty Bell Association, Inc. from violating the Ohio Securities Act in a securities transaction with International Mortgage Company, Inc. On March 19, 1996, Mong consented to the injunction. On June 19, 1997, a Licking County Grand Jury issued an 81-count indictment. One count of securities fraud and one count of misrepresentation in selling securities were later dropped.

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