U.S. Securities & Exchange Commission
SEC Seal
Home | Previous Page
U.S. Securities and Exchange Commission

UNITED STATES OF AMERICA
Before the
SECURITIES AND EXCHANGE COMMISSION

SECURITIES EXCHANGE ACT OF 1934
Release No. 61208 / December 18, 2009

ADMINISTRATIVE PROCEEDING File No. 3-13199


In the Matter of

Cornerstone Capital Management, Inc., and Laura Jean Kent

Respondents.



:
:
:
:
:
:
:

NOTICE OF PROPOSED PLAN OF DISTRIBUTION AND OPPORTUNITY FOR COMMENT

Notice is hereby given, pursuant to Rule 1103 of the Securities and Exchange Commission's (“Commission”) Rules on Fair Fund and Disgorgement Plans, 17 C.F.R. 201.1103, that the Division of Enforcement has filed with the Commission the proposed plan (“Distribution Plan”) for the distribution of monies in In the Matter of Cornerstone Capital Management, Inc., and Laura Jean Kent. The Commission issued an Order Making Findings and Imposing Remedial Sanctions and a Cease and Desist Order Pursuant to Sections 203(e), 203(f), and 203(k) of the Investment Advisers Act of 1940 in this matter on March 20, 2009. (Rel. IA-2855).

OPPORTUNITY FOR COMMENT

Pursuant to this Notice, all interested parties are advised that they may obtain a copy of the Distribution Plan from the Commission’s public website, http://www.sec.gov, or by submitting a written request to Robert L. Mitchell, Trial Counsel, United States Securities and Exchange Commission, 44 Montgomery Street, Suite 2600, San Francisco, CA 94104. Further, all persons desiring to comment on the Distribution Plan may submit their comments, in writing, within 30 days of the date of this Notice:

  1. to the Office of the Secretary, United States Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549-1090;
     
  2. by using the Commission’s Internet comment form (http://www.sec.gov/litigation/admin.shtml); or
     
  3. by sending an e-mail to rule-comments@sec.gov.

Comments submitted by email or via the Commission’s website should include “Administrative Proceeding File Number 3-13199” in the subject line. Comments received will be available to the public. Persons should only submit information that they wish to make publicly available.

THE DISTRIBUTION PLAN

The Distribution Plan provides for distribution of the disgorgement of $335,758.00 to be paid by Laura Jean Kent and Cornerstone Capital Management, Inc., plus any accumulated interest, less any federal, state, or local taxes on the interest. The proposed plan provides for distribution of the monies on a pro rata basis to investors who paid investment management fees in Cornerstone Capital Management, Inc.’s (1) Precious Metals and Mining and Promissory Note Programs from February 2003 through December 2007, (2) Costa Rican Currency Exchange Program from December 2002 through December 2007, (3) the Indemnity Bond Bridge Program from December 2005 through December 2007, and (4) the Cogeneration Project Financing Program from June 2005 through December 2007. Each claimant shall receive a pro rata share of the Distribution Fund calculated by the Plan Administrator.

For the Commission, by its Secretary, pursuant to delegated authority.

Elizabeth M. Murphy
Secretary

See also Proposed Distribution Plan


http://www.sec.gov/litigation/admin/2009/34-61208.htm


Modified: 12/18/2009