Sometimes you can get money back when you have losses in the securities market. The following excerpt from the SEC blogsite gives details as to when and how your losses can be recouped:
“Often referred to as the "truth in securities" law, the Securities Act of 1933 has two basic objectives:
To require that investors receive financial and other significant information concerning securities being offered for public sale; and
To prohibit deceit, misrepresentations, and other fraud in the sale of securities.
The SEC accomplishes these goals primarily by requiring that companies disclose important financial information through the registration of securities. This information enables investors, not the government, to make informed judgments about whether to purchase a company's securities.
Here’s how an overview of how the registration process works. In general, all securities offered in the U.S. must be registered with the SEC or must qualify for an exemption from the registration requirements. The registration forms a company files with the SEC provide essential facts while minimizing the burden and expense of complying with the law. In general, registration forms call for:
A description of the company's properties and business;
A description of the security to be offered for sale;
Information about the management of the company; and
Financial statements certified by independent accountants.
Registration statements and prospectuses become public shortly after the company files them with the SEC. All companies, domestic and foreign, are required to file registration statements and other forms electronically. Investors can then access registration and other company filings using EDGAR.
Not all offerings of securities must be registered with the SEC. The most common exemptions from the registration requirements include:
Private offerings to a limited number of persons or institutions;
Offerings of limited size;
Intrastate offerings; and
Securities of municipal, state, and federal governments.
By exempting many small offerings from the registration process, the SEC seeks to foster capital formation by lowering the cost of offering securities to the public.
The SEC’s Division of Corporation Finance may examine a company’s registration statement to determine whether it complies with our disclosure requirements. But the SEC does not evaluate the merits of offerings, nor do we determine if the securities offered are "good" investments.
While our rules require that companies provide accurate and truthful information, we cannot guarantee the accuracy of the information in a company’s filings. In fact, every year we bring enforcement actions against companies who’ve "cooked their books" or failed to provide important information to investors. Investors who purchase securities and suffer losses should know that they have important recovery rights if they can prove that there was incomplete or inaccurate disclosure of important information.”
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This is a photo of the National Register of Historic Places listing with reference number 7000063
Saturday, June 11, 2011
FINAL JUDGEMENT AGAINST MARK MEYER & ASSOCIATES INC.
The following is an excerpt from the SEC website:
“Court Enters Final Judgment against Coppell, Texas Resident Mark G. Meyer and his Company Mark Meyer & Associates, Inc.
The Securities and Exchange Commission announced today that on June 7, 2011, Judge Elaine Bucklo of the United States District Court for the Northern District of Illinois entered a final judgment against Mark G. Meyer, of Coppell, Texas, and Mark Meyer & Associates, Inc. (MMAI), Meyer's business. The final judgment: (1) enjoined Meyer and MMAI from violating Sections 5(a), 5(c) and 17(a) of the Securities Act of 1933, Sections 10(b) and 15(a) of the Securities Exchange Act of 1934 and Rules 10b-5 and 10b-10 promulgated thereunder, and enjoined Meyer from aiding and abetting violations of Rule 10b-10 of the Exchange Act; (2) ordered Meyer and MMAI to pay disgorgement in the amount of $1,162,729.13 plus prejudgment interest of $565,204.12, for a total of $1,727,933.25; and (3) ordered Meyer to pay a civil penalty in the amount of $120,000, and MMAI to pay a civil penalty in the amount of $600,000.
The SEC's complaint in this matter charges that Michael E. Kelly and 25 other defendants, including Meyer and MMAI, participated in a massive fraud on U.S. investors that involved the offer and sale of securities in the form of Universal Leases. Universal Lease investments were structured as timeshares in several hotels in Cancun, Mexico, coupled with a pre-arranged rental agreement that promised investors a high, fixed rate of return. The SEC's complaint alleges that from 1999 until 2005, Kelly and others, including Meyer and MMAI, raised at least $428 million through the Universal Lease scheme from investors throughout the United States, with more than $136 million of the funds invested coming from IRA accounts. The SEC further alleges that a nationwide network of unregistered salespeople who sold the Universal Leases, including Meyer and MMAI, collected undisclosed commissions totaling more than $72 million. The SEC also alleges that Kelly and others ran the scheme from Cancun, Mexico, through a number of foreign entities in Mexico and Panama. According to the SEC's complaint, Kelly and others told investors that Universal Leases would generate guaranteed income through the leasing of investor timeshares by a large, independent leasing agent. In fact, the complaint alleges, the leasing agent was a small Panamanian travel agency controlled by Kelly, and for most of the scheme, its payments to investors came from accounts funded by money raised from new investors. Further, the complaint alleges that Kelly and the other defendants, including Meyer and MMAI, failed to disclose key facts about the Universal Lease investment, including the risks of the investment and that Kelly was paying commissions as high as 27% to the selling brokers. The SEC's action against the remaining defendants is pending.”
“Court Enters Final Judgment against Coppell, Texas Resident Mark G. Meyer and his Company Mark Meyer & Associates, Inc.
The Securities and Exchange Commission announced today that on June 7, 2011, Judge Elaine Bucklo of the United States District Court for the Northern District of Illinois entered a final judgment against Mark G. Meyer, of Coppell, Texas, and Mark Meyer & Associates, Inc. (MMAI), Meyer's business. The final judgment: (1) enjoined Meyer and MMAI from violating Sections 5(a), 5(c) and 17(a) of the Securities Act of 1933, Sections 10(b) and 15(a) of the Securities Exchange Act of 1934 and Rules 10b-5 and 10b-10 promulgated thereunder, and enjoined Meyer from aiding and abetting violations of Rule 10b-10 of the Exchange Act; (2) ordered Meyer and MMAI to pay disgorgement in the amount of $1,162,729.13 plus prejudgment interest of $565,204.12, for a total of $1,727,933.25; and (3) ordered Meyer to pay a civil penalty in the amount of $120,000, and MMAI to pay a civil penalty in the amount of $600,000.
The SEC's complaint in this matter charges that Michael E. Kelly and 25 other defendants, including Meyer and MMAI, participated in a massive fraud on U.S. investors that involved the offer and sale of securities in the form of Universal Leases. Universal Lease investments were structured as timeshares in several hotels in Cancun, Mexico, coupled with a pre-arranged rental agreement that promised investors a high, fixed rate of return. The SEC's complaint alleges that from 1999 until 2005, Kelly and others, including Meyer and MMAI, raised at least $428 million through the Universal Lease scheme from investors throughout the United States, with more than $136 million of the funds invested coming from IRA accounts. The SEC further alleges that a nationwide network of unregistered salespeople who sold the Universal Leases, including Meyer and MMAI, collected undisclosed commissions totaling more than $72 million. The SEC also alleges that Kelly and others ran the scheme from Cancun, Mexico, through a number of foreign entities in Mexico and Panama. According to the SEC's complaint, Kelly and others told investors that Universal Leases would generate guaranteed income through the leasing of investor timeshares by a large, independent leasing agent. In fact, the complaint alleges, the leasing agent was a small Panamanian travel agency controlled by Kelly, and for most of the scheme, its payments to investors came from accounts funded by money raised from new investors. Further, the complaint alleges that Kelly and the other defendants, including Meyer and MMAI, failed to disclose key facts about the Universal Lease investment, including the risks of the investment and that Kelly was paying commissions as high as 27% to the selling brokers. The SEC's action against the remaining defendants is pending.”
INTERNATIONAL MONEY LAUNDERER PLEADS GUILTY
Crime is now an international affair and no one government in the near future may have the ability to investigate let alone prosecute, the new world order of criminals. The following is an excerpt from the Department of Justice website:
Office of Public Affairs
FOR IMMEDIATE RELEASE
Thursday, June 9, 2011
Foreign National Pleads Guilty for Role in International Money Laundering Scheme Involving $1.4 Million in Losses to Victims
WASHINGTON – A Romanian national pleaded guilty today in U.S. District Court in the District of Columbia for leading a money laundering network for a transnational criminal group based in Eastern Europe, announced Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division. According to court documents, in less than one year, the criminal conspiracy netted approximately $1.4 million from U.S. victims.
Roman Teodor, 36, a resident of Romania, pleaded guilty before U.S. District Court Judge Paul L. Friedman to conspiracy to commit money laundering. Teodor voluntarily surrendered to U.S. authorities on April 10, 2011. At sentencing, scheduled for Aug. 29, 2011, Teodor faces a maximum of 20 years in prison.
According to court documents, Teodor participated in a scheme that operated from July 2005 through November 2006, and involved the posting of fraudulent advertisements on eBay and other websites offering expensive vehicles and boats for sale that the conspirators did not possess. When the U.S. victims expressed interest in the merchandise, they were contacted directly by an email from a purported seller. According to court documents, the victims were then instructed to wire transfer payments through “eBay Secure Traders” — an entity which has no actual affiliation to eBay, but was used as a ruse to persuade the victims that they were sending money into a secure escrow account pending delivery and inspection of their purchases. Instead, the victims’ funds were wired directly into bank accounts in Hungary, Slovakia, the Czech Republic and Poland that were controlled by Teodor’s co-conspirators.
Teodor was originally charged on Jan. 9, 2008, along with five additional defendants: Georgi Vasilev Pletnyov, Ivaylo Vasilev Pletnyov, Nikolay Georgiev Minchev, Georgi Boychev Georgiev and Antoaneta Angelova Getova. On Dec. 2, 2009, Ivaylo Vasilev Pletnyov and Nikolay Georgiev Minchev were sentenced to 48 months and 30 months in prison, respectively, for their roles in the money laundering conspiracy. On Oct. 8, 2010, Georgi Boychev Georgiev was sentenced to 15 months in prison for his role in this scheme. On April 11, 2011, Georgi Vasilev Pletnyov pleaded guilty to one count of conspiracy to commit wire fraud and one count of conspiracy to commit money laundering. His sentencing is scheduled for Aug. 22, 2011. The United States continues to work with foreign counterparts in Bulgaria regarding Antoaneta Angelova Getova.
This investigation was conducted by the FBI – Hungarian National Bureau of Investigation Organized Crime Task Force located in Budapest, Hungary (Budapest Task Force). The Budapest Task Force was established by the FBI in April 2000 to address the increasing threat of Eurasian organized crime groups to the United States.
The case is being prosecuted by Trial Attorney Lisa Page of the Criminal Division’s Organized Crime and Gang Section. The Criminal Division’s Office of International Affairs provided significant assistance on this case.
Office of Public Affairs
FOR IMMEDIATE RELEASE
Thursday, June 9, 2011
Foreign National Pleads Guilty for Role in International Money Laundering Scheme Involving $1.4 Million in Losses to Victims
WASHINGTON – A Romanian national pleaded guilty today in U.S. District Court in the District of Columbia for leading a money laundering network for a transnational criminal group based in Eastern Europe, announced Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division. According to court documents, in less than one year, the criminal conspiracy netted approximately $1.4 million from U.S. victims.
Roman Teodor, 36, a resident of Romania, pleaded guilty before U.S. District Court Judge Paul L. Friedman to conspiracy to commit money laundering. Teodor voluntarily surrendered to U.S. authorities on April 10, 2011. At sentencing, scheduled for Aug. 29, 2011, Teodor faces a maximum of 20 years in prison.
According to court documents, Teodor participated in a scheme that operated from July 2005 through November 2006, and involved the posting of fraudulent advertisements on eBay and other websites offering expensive vehicles and boats for sale that the conspirators did not possess. When the U.S. victims expressed interest in the merchandise, they were contacted directly by an email from a purported seller. According to court documents, the victims were then instructed to wire transfer payments through “eBay Secure Traders” — an entity which has no actual affiliation to eBay, but was used as a ruse to persuade the victims that they were sending money into a secure escrow account pending delivery and inspection of their purchases. Instead, the victims’ funds were wired directly into bank accounts in Hungary, Slovakia, the Czech Republic and Poland that were controlled by Teodor’s co-conspirators.
Teodor was originally charged on Jan. 9, 2008, along with five additional defendants: Georgi Vasilev Pletnyov, Ivaylo Vasilev Pletnyov, Nikolay Georgiev Minchev, Georgi Boychev Georgiev and Antoaneta Angelova Getova. On Dec. 2, 2009, Ivaylo Vasilev Pletnyov and Nikolay Georgiev Minchev were sentenced to 48 months and 30 months in prison, respectively, for their roles in the money laundering conspiracy. On Oct. 8, 2010, Georgi Boychev Georgiev was sentenced to 15 months in prison for his role in this scheme. On April 11, 2011, Georgi Vasilev Pletnyov pleaded guilty to one count of conspiracy to commit wire fraud and one count of conspiracy to commit money laundering. His sentencing is scheduled for Aug. 22, 2011. The United States continues to work with foreign counterparts in Bulgaria regarding Antoaneta Angelova Getova.
This investigation was conducted by the FBI – Hungarian National Bureau of Investigation Organized Crime Task Force located in Budapest, Hungary (Budapest Task Force). The Budapest Task Force was established by the FBI in April 2000 to address the increasing threat of Eurasian organized crime groups to the United States.
The case is being prosecuted by Trial Attorney Lisa Page of the Criminal Division’s Organized Crime and Gang Section. The Criminal Division’s Office of International Affairs provided significant assistance on this case.
SEC GETS EMERGENCY ASSET FREEZE AGAINST THE ASSOCIATION FOR BETTERMENT THROUGH EDUCATION AND LOVE INC.
Unauthorized securities is something that the SEC frowns on a great deal. In the following case a charity like entity ran a fowl of the SEC by allegedly selling unregistered securities. The following is an excerpt from the SEC web site:
“The Securities and Exchange Commission announced today that it charged Association for Betterment through Education and Love, Inc. (“ABEL”) and its principal, Anthony O. DeGregorio, Sr., age 81 and resident of New Jersey, with offering and selling securities in unregistered transactions and obtained an emergency court order to halt the offerings and preserve assets for investors. The Complaint also names Margherita DeGregorio as a relief defendant.
The Commission's complaint, filed in the District of New Jersey, alleges that ABEL and DeGregorio have raised more than $1.3 million through unregistered securities offerings since ABEL’s inception in 1989, obtaining more than $1 million in the last four years through offering purported “CDs.” According to the Complaint, ABEL’s purported purpose was to invest funds raised in securities offerings and use investment profits to pay a “guaranteed” return to investors, and donate a portion to charity. The Complaint alleges that ABEL and DeGregorio offered securities in the form of charitable gift annuities, without complying with state registration requirements, and offered purported CDs that carried above-market interest rates. The Complaint also charges that, at times, ABEL used the proceeds from new offerings of securities to make promised interest payments to earlier investors.
The Complaint charges ABEL and DeGregorio with violating Sections 5(a) and (c) of the Securities Act of 1933.
Judge Freda L. Wolfson of the United States District Court for the District of New Jersey issued a temporary restraining order, which prohibits ABEL and DeGregorio from committing further violations of the federal securities laws and places a freeze on their assets and the assets of Margherita DeGregorio. In its enforcement action, the Commission is seeking additional relief, including orders enjoining ABEL and DeGregorio, preliminarily and permanently, from committing future violations of the foregoing federal securities laws, and a final judgment ordering ABEL and DeGregorio to disgorge their ill-gotten gains plus prejudgment interest, and assessing civil penalties against them.”
“The Securities and Exchange Commission announced today that it charged Association for Betterment through Education and Love, Inc. (“ABEL”) and its principal, Anthony O. DeGregorio, Sr., age 81 and resident of New Jersey, with offering and selling securities in unregistered transactions and obtained an emergency court order to halt the offerings and preserve assets for investors. The Complaint also names Margherita DeGregorio as a relief defendant.
The Commission's complaint, filed in the District of New Jersey, alleges that ABEL and DeGregorio have raised more than $1.3 million through unregistered securities offerings since ABEL’s inception in 1989, obtaining more than $1 million in the last four years through offering purported “CDs.” According to the Complaint, ABEL’s purported purpose was to invest funds raised in securities offerings and use investment profits to pay a “guaranteed” return to investors, and donate a portion to charity. The Complaint alleges that ABEL and DeGregorio offered securities in the form of charitable gift annuities, without complying with state registration requirements, and offered purported CDs that carried above-market interest rates. The Complaint also charges that, at times, ABEL used the proceeds from new offerings of securities to make promised interest payments to earlier investors.
The Complaint charges ABEL and DeGregorio with violating Sections 5(a) and (c) of the Securities Act of 1933.
Judge Freda L. Wolfson of the United States District Court for the District of New Jersey issued a temporary restraining order, which prohibits ABEL and DeGregorio from committing further violations of the federal securities laws and places a freeze on their assets and the assets of Margherita DeGregorio. In its enforcement action, the Commission is seeking additional relief, including orders enjoining ABEL and DeGregorio, preliminarily and permanently, from committing future violations of the foregoing federal securities laws, and a final judgment ordering ABEL and DeGregorio to disgorge their ill-gotten gains plus prejudgment interest, and assessing civil penalties against them.”
Friday, June 10, 2011
SEC ON REVERSE MERGERS
The following is an excerpt from the SEC web site:
SEC Issues Bulletin on Risks of Investing in Reverse Merger Companies
FOR IMMEDIATE RELEASE
Washington, D.C., June 9, 2011 – The Securities and Exchange Commission today issued an Investor Bulletin about investing in companies that enter U.S. markets through so-called “reverse mergers.”
“Given the potential risks, investors should be especially careful when considering investing in the stock of reverse merger companies,” said Lori J. Schock, Director of the SEC’s Office of Investor Education and Advocacy. “As with any investment, investors should thoroughly research the company – including ensuring there is accurate and up-to-date information – before making a decision to invest.”
Reverse mergers permit private companies, including those located outside the U.S., to access U.S. investors and markets by merging with an existing public shell company. The SEC and U.S. exchanges recently suspended trading in a more than a dozen reverse merger companies, citing a lack of current, accurate information about these firms and their finances.
SEC Issues Bulletin on Risks of Investing in Reverse Merger Companies
FOR IMMEDIATE RELEASE
Washington, D.C., June 9, 2011 – The Securities and Exchange Commission today issued an Investor Bulletin about investing in companies that enter U.S. markets through so-called “reverse mergers.”
“Given the potential risks, investors should be especially careful when considering investing in the stock of reverse merger companies,” said Lori J. Schock, Director of the SEC’s Office of Investor Education and Advocacy. “As with any investment, investors should thoroughly research the company – including ensuring there is accurate and up-to-date information – before making a decision to invest.”
Reverse mergers permit private companies, including those located outside the U.S., to access U.S. investors and markets by merging with an existing public shell company. The SEC and U.S. exchanges recently suspended trading in a more than a dozen reverse merger companies, citing a lack of current, accurate information about these firms and their finances.
A BAD GUY FINISHES LAST
THURSDAY, JUNE 9, 2011
OWNER OF ILLINOIS TECHNOLOGY COMPANY SENTENCED TO SERVE 12
MONTHS AND A DAY IN PRISON FOR ROLE IN CONSPIRACY TO DEFRAUD THE
FEDERAL E-RATE PROGRAM
WASHINGTON — An owner of an Illinois-based technology company was sentenced today to serve one year and a day in prison for his participation in a conspiracy to defraud the federal E-Rate program, the Department of Justice announced.
Barrett C. White was also sentenced by U.S. District Court Judge Eldon Fallon to pay a $4,000 criminal fine for conspiring to defraud the E-Rate program by providing bribes and kickbacks to school officials in multiple states. White was charged with the conspiracy in U.S. District Court in New Orleans on Nov. 18, 2010, and he pleaded guilty on March 3, 2011.
As a result of the Antitrust Division's investigation into fraud and anticompetitive conduct in the E-Rate program, including today's sentencing, a total of seven companies and 24 individuals have pleaded guilty, been convicted at trial or entered civil settlements. Those companies and individuals have been sentenced to pay criminal fines and restitution totaling more than $40 million. Sixteen individuals, including White, have been sentenced to serve prison time.
According to court documents, White participated in the conspiracy beginning on or about February 2004 through August 2005. The department said that White offered and delivered bribes and kickbacks to school officials responsible for the procurement of Internet access services. In return for those payments, E-Rate contracts were awarded to his co-conspirators' companies. White's co-conspirators, Gloria Harper and Tyrone Pipkin, have also pleaded guilty to the conspiracy in separate charges and await sentencing.
The E-Rate program was created by Congress in the Telecommunications Act of 1996 and is administered by the Universal Service Administrative Company, under the oversight of the Federal Communications Commission (FCC). The program provides subsidies to economically disadvantaged schools and libraries. Depending on the financial needs of the applicant schools, the program pays 20 to 90 percent of the cost for Internet access and telecommunications services, as well as internal computer and communications networks.
Today's sentencing resulted from an investigation by the Department of Justice Antitrust Division's Dallas Field Office, the FBI's Dallas Field Office and the FCC's Office of Inspector General, with assistance from the U.S. Attorney's Office for the Eastern District of Louisiana. Anyone with information concerning violations of the E-Rate program is urged to call the Antitrust Division's Dallas.”
OWNER OF ILLINOIS TECHNOLOGY COMPANY SENTENCED TO SERVE 12
MONTHS AND A DAY IN PRISON FOR ROLE IN CONSPIRACY TO DEFRAUD THE
FEDERAL E-RATE PROGRAM
WASHINGTON — An owner of an Illinois-based technology company was sentenced today to serve one year and a day in prison for his participation in a conspiracy to defraud the federal E-Rate program, the Department of Justice announced.
Barrett C. White was also sentenced by U.S. District Court Judge Eldon Fallon to pay a $4,000 criminal fine for conspiring to defraud the E-Rate program by providing bribes and kickbacks to school officials in multiple states. White was charged with the conspiracy in U.S. District Court in New Orleans on Nov. 18, 2010, and he pleaded guilty on March 3, 2011.
As a result of the Antitrust Division's investigation into fraud and anticompetitive conduct in the E-Rate program, including today's sentencing, a total of seven companies and 24 individuals have pleaded guilty, been convicted at trial or entered civil settlements. Those companies and individuals have been sentenced to pay criminal fines and restitution totaling more than $40 million. Sixteen individuals, including White, have been sentenced to serve prison time.
According to court documents, White participated in the conspiracy beginning on or about February 2004 through August 2005. The department said that White offered and delivered bribes and kickbacks to school officials responsible for the procurement of Internet access services. In return for those payments, E-Rate contracts were awarded to his co-conspirators' companies. White's co-conspirators, Gloria Harper and Tyrone Pipkin, have also pleaded guilty to the conspiracy in separate charges and await sentencing.
The E-Rate program was created by Congress in the Telecommunications Act of 1996 and is administered by the Universal Service Administrative Company, under the oversight of the Federal Communications Commission (FCC). The program provides subsidies to economically disadvantaged schools and libraries. Depending on the financial needs of the applicant schools, the program pays 20 to 90 percent of the cost for Internet access and telecommunications services, as well as internal computer and communications networks.
Today's sentencing resulted from an investigation by the Department of Justice Antitrust Division's Dallas Field Office, the FBI's Dallas Field Office and the FCC's Office of Inspector General, with assistance from the U.S. Attorney's Office for the Eastern District of Louisiana. Anyone with information concerning violations of the E-Rate program is urged to call the Antitrust Division's Dallas.”
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