by Jonathan Eberle | Oct 29, 2025 | News
By Jonathan Eberle |
The Arizona Corporation Commission (ACC) announced that the U.S. District Court for the Central District of California has entered a final judgment against Safeguard Metals LLC and its owner, Jeffrey Ikahn, for orchestrating a multimillion-dollar fraud scheme that preyed on elderly and retirement-aged investors across the country.
The ruling orders approximately $25.6 million in restitution to victims and an equal civil monetary penalty, totaling more than $51 million in sanctions. The decision follows a coordinated enforcement effort between the Commodity Futures Trading Commission(CFTC) and 30 state regulators, including Arizona.
According to court findings, Safeguard Metals and Ikahn operated a deceptive precious metals investment scheme between October 2017 and July 2021, soliciting roughly $68 million—primarily from retirement accounts—belonging to at least 450 individuals. The company promised secure investments in silver and other metals but instead misled investors with false information and inflated pricing on the metals sold.
Investigators found that the firm concealed material facts, manipulated sales tactics, and grossly overcharged customers for products that were worth far less than claimed. Much of the money lost came from seniors’ life savings and retirement accounts.
“The court’s final judgment in this matter provides meaningful restitution to investors harmed by this fraudulent action and it reinforces that the Arizona Corporation Commission will take decisive action to protect investors, especially those in vulnerable communities,” said ACC Chair Kevin Thompson. “I want to thank the CFTC and the state regulators for their dedication and hard work.”
Thompson added that the case serves as a reminder of the essential role state regulators play in detecting and halting investment fraud. “This outcome is an important reminder that state securities regulators play a critical role in fighting investment fraud in all forms,” he said.
The U.S. Securities and Exchange Commission (SEC) also pursued a parallel enforcement action in 2022 against Safeguard Metals and Ikahn. Earlier this year, the court ordered the defendants to pay $25.6 million in disgorgement and an equal civil penalty, mirroring the CFTC and state regulators’ ruling. Any funds paid under one judgment will be credited toward the other to prevent duplication.
The sweeping case reflects cooperation among financial regulators from 30 states, including Alabama, Arizona, Arkansas, California, Florida, Illinois, New York, and Texas, as well as the CFTC’s national enforcement network.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
by Staff Reporter | Sep 29, 2025 | Economy, News
By Staff Reporter |
A series of new laws taking effect are anticipated to raise Arizona’s economic competitiveness.
The Arizona Chamber of Commerce & Industry (Arizona Chamber) highlighted six new laws as giving the state a beneficial boost in economic performance against other states.
These laws aim to make it feasible for international headquarters to build on-site workforce housing and support services (Senate Bill 1543), permit utilities to refinance infrastructure investments through securitization (House Bill 2679), allow Chase Field renovations without increasing taxes (House Bill 2704), make it feasible for advanced air mobility systems such as drone deliveries and air taxis (Senate Bill 1307), require utilities and public power entities to implement wildfire mitigation plans (House Bill 2201), and bars foreign entities from funding lawsuits while limiting outside funding to third-party litigation (Senate Bill 1215).
Dozens of states are working together to create a uniform approach to allowing advanced air mobility, along with the Federal Aviation Administration. Over 30 states are members of the Advanced Air Mobility Multistate Collaborative (AAMMC), formed in 2023 with eight to 10 member states. Arizona is member to the organization leading AAMMC, the National Association of State Aviation Officials.
In addition to raising awareness of the new laws it backs, the Arizona Chamber also releases public reports of failed bills it believed would harm the state’s economy. The chamber announced their 2025 report is forthcoming.
Arizona Chamber President and CEO Danny Seiden stated that the six featured laws would retain corporate interest in the state by implementing necessary reforms and new pathways to growth.
“As these laws take effect, Arizona employers can count on policies that reflect their priorities,” said Seiden. “From keeping vital economic drivers in Arizona, to passing commonsense energy reforms that will deliver long-term stability and affordability, to supporting global companies, these are the kinds of policies that keep Arizona competitive and attractive for investment.”
The legislature also passed other laws anticipated to boost the economy, some of which Governor Katie Hobbs also approved from the Republican-controlled legislature despite a historic veto record (nearly 200 bills this year, compared to her previous historic record of over 140 in 2023).
One such law promises to further protect Arizona from regulatory capture by monopoly-controlled utilities (House Bill 2518). The legislation prohibits Arizona Corporation Commission (ACC) members from accepting employment with the utilities under their regulation. Not all ACC members were pleased with the legislation, namely ACC Chairman Kevin Thompson.
Chair Thompson was the subject of an ethics claim filed by the Energy Policy Institute earlier this year, as first reported by the Arizona Republic. The institute alleged a conflict of interest regarding the relationship between Thompson’s consulting firm and utilities.
Another law will ensure construction crews may work in the early morning hours in the summers by prohibiting municipalities and counties from enacting or enforcing noise ordinances, rules, or regulations prohibiting general construction activities during certain summertime hours (Senate Bill 1182).
And another law requires municipalities to give affected businesses at least 60 days’ notice before voting on tax increases (House Bill 2119).
The legislature also chose to sunset the Low Income Housing Tax Credit program rather than renew. Critics of the program blame lax policies and procedures for the Department of Housing’s loss of around $2 million to a wire fraud scam in 2023.
AZ Free News is your #1 source for Arizona news and politics. You can send us news tips using this link.
by Matthew Holloway | Jul 30, 2025 | News
By Matthew Holloway |
During its July 24th Contingency Open Meeting, the Arizona Corporation Commission (AZCC) unanimously assigned the construction cost of a massive 1.5-million-gallon subterranean water tank to the Sedona customers of Arizona Water Company. The decision follows a nearly four-decade efffort to find a location for the water tank that was agreeable with the City of Sedona and local residents.
According to the AZCC, the “extra costs incurred” by the water tank, concealed with a fake home, will fall “solely on the Sedona customers of Arizona Water Company.” However, Pinetop Lakes, Munds Park, and Payson will also see a significant rate increase.
According to a press release from the AZCC, for Sedona residents, the estimated rate increase is 45%, which would bring the average residential bill to approximately $60 per month. Meanwhile, other Northern Group customers will see an increase of roughly 34%, with a billing estimate of $52 per month.
Prior to the meeting, the notion of assigning the costs to the ratepayers outside of Sedona was opposed by Republican Arizona Rep. David Marshall (R-LD7), who publicly condemned it in a press release. Marshall cited the “City’s requirement that Arizona Water Company bury a new water storage tank underground and disguise it with a fake home built on top—an aesthetic demand that made the project one of the most expensive the utility has ever undertaken.”
Rep. Marshall stated, “Arizona Water Company’s northern Arizona ratepayers—including the good people of Pinetop-Lakeside, Heber-Overgaard, Rimrock, Munds Park, and the Village of Oak Creek—did not ask for these costly design features. Quite frankly, it’s absurd to ask them to fork over millions to subsidize the excessive, big-government design mandates of a city nearly 200 miles away. This is a matter of fairness and affordability. Sedona chose to inflate the cost of this project for its own benefit. The rest of northern Arizona shouldn’t be stuck footing the bill for Sedona’s multi-million-dollar expectations.”
According to the AZCC release, an amendment to the decision by Commissioner Rachel Walden resulted in the “non-operational aesthetic expenses” being shifted to Sedona Residents. “My job is to ensure expenses are just, reasonable, and prudent,” Walden said. “That is why I offered my amendment to ensure that non-operational aesthetic expenses will not be paid for by those who do not benefit from them. I thank my fellow Commissioners for fully supporting my amendment.”
The Corporation Commission said in a statement, “The Commission deemed a new tank was prudent and appropriate; however, it was adamant that the extra costs from the aesthetic requirements were not to be assigned to the other 15,000 customers who do not reside in Sedona. The City and residents expressed disapproval for construction of an above ground water tank, which is the conventional design. The Sedona Project is one of only three water tanks that have been undergrounded in the state, by Commission regulated companies.“
The construction tab for the East Sedona Water Storage Tank and Booster Project came to approximately $20 million, as reported by the Arizona Daily Independent. The Arizona Water Company explained that to obtain approval for a conditional use permit (CUP) by the Sedona Planning and Zoning Commission and City Council, it was required to comply with requirements to bury the storage tank and “camouflage” the tank by building a structure on top of the tank that resembles a home for aesthetic purposes, so that it will blend in with the neighborhood and scenery.
“Hopefully this is a strong signal to all water companies, local governments, and residents moving forward that if you require special conditions or place limitations on infrastructure based upon aesthetic preferences, you may be responsible for those extra costs,” said Chair Thompson. “I’m sympathetic to the majority of the Sedona customers who will be solely responsible for these added costs, but it is not an equitable requirement for the 15,000 customers in other communities to be responsible for millions in extra costs because a vocal minority didn’t like the way a water tank looked.”
“After a robust discussion today, the Commission reached a Decision in Arizona Water Co.’s Northern Group’s rate case that strikes a fine balance between ratepayer protections and company viability,” Commissioner René Lopez said. “Thursday’s Decision also signals to ratepayers and local governments that, even in a consolidated group, the Commission will equitably allocate costs to certain customer groups when extraordinary expenses are incurred at their request or for their exclusive benefit. Nevertheless, the compromises and decisions made ensures ratepayers continue to have access to reliable and safe drinking water in some of Arizona’s most beautiful terrains.”
“The final determination of rates for Arizona Water came after a very thoughtful discussion at the Commission about the additional requirements by the City of Sedona for the undergrounding of the water tank and the appropriateness of the financial burden on other ratepayers within their northern division,” stated Commissioner Lea Márquez Peterson, who voted in support of the amended case. “I am appreciative of my fellow Commissioners’ support for my amendment that requires the company to present possible improvements to their customer assistance programs within their next rate case.”
“I’m pleased the Commission directed Arizona Water to engage in discussions with the City of Sedona about funds to help cover the incremental costs to bury the East Sedona Storage Tank,” Vice Chair Nick Myers added. “Because the City required and is directly benefitting from undergrounding the tank, it’s only fair that they contribute financially to cover the City-imposed aesthetic costs. Otherwise, the entire incremental cost of burying the tank will be borne by Arizona Water’s Sedona System customers.”
Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.
by Matthew Holloway | Jun 20, 2025 | News
By Matthew Holloway |
Only weeks after refusing to comply with an Executive Order to reactivate the Cholla Power Plant in Northern Arizona, Arizona Public Service (APS) has filed documents with the Arizona Corporation Commission (ACC) requesting an increase in the state-regulated electrical utility’s revenue of $579.5 million. That equates to a jump in residential electrical rates of approximately 14.5%. The hike would represent a 30% increase in residential rates since 2023.
The utility is also seeking permission from the Commission to unilaterally adjust prices annually using “rate design schedules.” APS justified this request to the ACC in the 2,323-page application docket claiming, “The costs to ensure reliable service to customers have rapidly increased due to high rates of inflation, persistently high interest rates, and continued supply chain and trade policy volatility.”
The utility alleged that a “significant revenue deficiency … based on the 12-month period that ended on December 31, 2024 (Test Year), demonstrates that APS’s current rates do not recover sufficient revenue to ensure reliable service.”
Notably, APS and its parent company, Pinnacle West Capital Corp., did have enough revenue to give Governor Katie Hobbs $250,000 for her inauguration and even bankrolled her legal battle with Kari Lake to the tune of $100,000.
“The tremendous growth across APS’s service territory shows no sign of letting up, with the Company’s infrastructure and reliable energy supply providing the backbone of this historic expansion,” APS said. “And yet, with high rates of inflation, persistently high interest rates, and continued supply chain volatility, the costs to serve current APS customers (let alone prepare for growth) are substantially higher than when the test year concluded in the Company’s last rate case.”
Just one year ago, the ACC approved a rate increase for residential customers of approximately 8 percent. That was followed by significant turnover in the commission with Republican newcomers Rachel Walden and Rene Lopez joining incumbent Lea Márquez Peterson to defeat the Democrat nominees and lock down all five seats for the GOP.
In the upcoming 2026 election, Arizona Reps. David Marshall and Ralph Heap are challenging incumbent commissioners Chairman Kevin Thompson and Vice Chairman Nick Myers. During a Tuesday presser, Marshall and Heap accused the commissioners of excessive price hikes and blocking President Donald Trump’s energy agenda.
“We have some families now who have to make a decision. Do I buy less groceries so I can pay my power bills? Or just deal with it or go without power,” Marshall told reporters.
“The Corporation Commission may not always make the headlines,” he added. “But the decisions made there affect every one of us every single day.”
In a statement responding to the primary challenge from Reps. Marshall and Heap, Commissioners Thompson and Myers defended their record saying, “We’ve taken steps to ensure our utilities are planning responsibly and not chasing costly, agenda-driven energy mandates. That’s why we required APS to prove in its 2023 Integrated Resource Plan that it has enough reliable and dispatchable generation to replace retiring plants. And it’s why we initiated the termination of Kris Mayes’ Renewable Energy Standard, which was an outdated mandate that artificially inflated utility costs by forcing ratepayers to subsidize unreliable, high-cost sources like wind and solar.”
Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.
by Matthew Holloway | Jun 18, 2025 | News
By Matthew Holloway |
Arizona Corporation Commissioners Nick Myers and Kevin Thompson responded to reports of an upcoming primary challenge from State Representative Dr. Ralph Heap and running mate Rep. David Marshall with a surprising attack against both candidates and two of the most prominent conservative organizations in the state. After Heap confirmed his 2026 candidacy for the Commission in a call with the Arizona Republic, incumbents Thompson and Myers reportedly blasted Heap and Marshall as “special interest proxies who have been recruited to return politics into ratemaking.”
Myers would even go as far as to claim that the two GOP challengers are in the service of the Arizona Free Enterprise Club (AZFEC) and Turning Point USA (TPUSA), telling the Republic that both want “good puppets” on the Corporation Commission.
Responding to the remarks, Arizona Free Enterprise Club President Scot Mussi told the Republic that Myers and Thompason were “pretty on brand,” and added, “They always resort to attacks and attacking whoever they can to avoid having to address the substance of what’s being brought to them.”
Turning Point Action spokesman Andrew Kolvet told the outlet, “We have no idea what the commissioner means by ‘puppet,’ as we have had zero contact with any current commissioners since they have taken office.” He stated that TPUSA considers AZFEC to be “an ally.”
Although the Corporation Commission came fully under Republican control in January, the stakes for Arizona voters are high given that APS has requested yet another rate increase on top of the 8% increase it was given in 2024.
Commissioners Thompson and Myers have also drawn the ire of many Republicans by echoing the talking points of APS and Tucson Electric Power (TEP), when both utilities refused to comply with President Trump’s Executive Order to reactivate the Cholla and Springerville coal-fired power plants. As previously reported by AZ Free News, Thompson claimed that doing so would “jeopardize the grid and burden ratepayers with millions of dollars in short-sighted costs.” He also criticized the President’s intervention saying, “The Commission must hold utilities accountable and ensure that we have reliable and dispatchable generation to meet the load demands of the future. We also have to make sure we accomplish that goal in a manner that doesn’t jeopardize the grid and burden ratepayers with millions of dollars in short-sighted costs that fail to meaningfully address our long-term energy needs.”
He added, “Managing highly intricate systems like our electrical grid is far more complicated than a slogan on a bumper sticker. Continued calls from certain elected officials to reopen Cholla does nothing more than promote financially reckless solutions.”
The Commission’s refusal to follow the Trump administration’s energy agenda and pushback toward efforts to eliminate environmental, social, and governance (ESG) and Diversity, Equity, and Inclusion (DEI) policies has placed it at odds with the Republican-controlled state legislature—along with the Arizona Freedom Caucus, AZFEC, and the Goldwater Institute.
Speaking to reporters, Myers accused AZFEC and TPUSA of “making things up,” claiming, “They’ve basically been trying to run us through the mud for every little thing they can drum up.”
However, Mussi explained that the Free Enterprise Club has had “a multitude of issues,” with the Commission. “There’s been a multitude of issues that they have shown no interest in working on,” he said. “And when these issues are brought up, rather than engaging on them, they have usually gone and attacked not just us, but whoever is bringing the policies that they disagree with addressing.” In particular he pointed to APS and TEP’s integrated resource plans, which lean heavily on wind and solar generation as opposed to coal, natural gas and nuclear, and AZFEC’s drive to terminate “California-style, Green New Deal policies.”
Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.
