In recent years, Wyoming has become a hub for secretive company incorporations, drawing attention due to its connection to fraud indictments and questionable business practices, The International Consortium of Investigative Journalists reports.
The state’s least-populated areas, including the small town of Sheridan nestled at the foot of the Bighorn Mountains, have witnessed a growing number of businesses formed under mysterious circumstances, many of which have been linked to dubious financial activities.
During the early days of the COVID-19 pandemic, the US government launched the Paycheck Protection Program (PPP) to provide emergency loans to businesses to help them survive pandemic-related shutdowns. Among the companies that received PPP loans was the Alo Group, which was registered in Wyoming. The firm claimed to have 36 US-based employees and was granted over $530,000 in funds. However, the legitimacy of the Alo Group has been called into question. There are no public records of the company’s operations, and its registered address, an office in Sheridan, provides few clues about its activities. Additionally, the company listed a suspicious disposable email address and later switched its listed address to China, only to dissolve after failing to meet state filing requirements.
The Alo Group is just one of many companies linked to a specific Sheridan address: 30 N. Gould St., a location shared by more than 266,000 entities between 2019 and 2024. This address is managed by Registered Agents Inc., a corporate services firm that assists businesses in forming legal entities in Wyoming. Registered Agents Inc. facilitates paperwork for these companies but claims to have no significant relationship with them beyond its administrative role.
The growing prevalence of shell companies and other secretive entities in Wyoming has raised alarm, with many of these firms linked to criminal activity. Hundreds of companies at the same Sheridan address have been named in multiple fraud cases, including schemes involving COVID relief funds. Investigations have revealed that some companies are fictitious or merely exist to mask the true owners, aiding fraudulent actors and individuals seeking to launder money or evade sanctions. In some instances, these companies have been connected to suspected North Korean money-laundering operations and other international financial crimes.
Wyoming’s lenient corporate formation laws have made it an attractive destination for individuals looking to shield their business dealings behind layers of secrecy. Companies can be registered without revealing the true identities of their owners, a feature that has made Wyoming especially popular for anonymous shell companies and trust structures designed to hide assets from creditors or tax authorities.
While Registered Agents Inc. denies any wrongdoing and states that it cooperates with law enforcement when necessary, its involvement in assisting the formation of numerous companies that have attracted legal scrutiny is part of a larger issue in Wyoming. With no requirement for transparency about the ownership of companies, the state’s corporate formation industry has flourished, attracting a diverse range of clients, from criminals to wealthy individuals seeking anonymity.
In response to rising concerns, Wyoming officials have begun to consider legislative changes to increase oversight and combat fraudulent activities. Several bills have been introduced to address fraudulent corporate filings, although they do not include measures to require full transparency regarding company ownership. Despite efforts to curb fraudulent activity, critics argue that the state’s regulations still remain insufficient to deter individuals from exploiting the system.
