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U.S. Securities and Exchange Commission

UNITED STATES OF AMERICA
Before the
SECURITIES AND EXCHANGE COMMISSION

SECURITIES EXCHANGE ACT OF 1934
Release No. 41784 / August 24, 1999

ADMINISTRATIVE PROCEEDING
File No. 3-9983

In the Matter of

MAMADOU M. M'BODJ,
Respondent.

ORDER INSTITUTING PUBLIC
ADMINISTRATIVE PROCEEDINGS
PURSUANT TO SECTIONS 15(b)
AND 19(h) OF THE SECURITIES
EXCHANGE ACT OF 1934, MAKING
FINDINGS AND IMPOSING REMEDIAL
SANCTIONS

I.

The Securities and Exchange Commission (Commission) deems it appropriate and in the public interest that public administrative proceedings be instituted pursuant to Sections 15(b) and 19(h) of the Securities Exchange Act of 1934 (Exchange Act) against Mamadou M'Bodj (M'Bodj).

In anticipation of the institution of these administrative proceedings, M'Bodj has submitted an Offer of Settlement which the Commission has determined to accept. Solely for the purpose of this proceeding and any other proceedings brought by or on behalf of the Commission, or to which the Commission is a party, and without admitting or denying the findings herein, except as to jurisdiction and those facts set forth in paragraphs II.A. and II.B. below, which are admitted, M'Bodj consents to the entry of this Order Instituting Proceedings Pursuant to Sections 15(b) and 19(h) of the Securities Exchange Act of 1934 (Exchange Act), Making Findings and Imposing Remedial Sanctions (Order).

Accordingly, it is ordered that proceedings pursuant to Sections 15(b) and 19(h) of the Exchange Act be, and hereby are, instituted.

II.

On the basis of this Order and the Offer of Settlement submitted by M'Bodj, the Commission makes the following findings:

A. During the period August 1993 through April 30, 1998, M'Bodj, age 48, was president and chief executive officer of Chase Global Securities, Inc. (Chase Global), a broker-dealer registered with the Commission.

B. On April 30, 1998, M'Bodj was criminally convicted, pursuant to his guilty plea, of one count of wire fraud (18 U.S.C. 1343) in the United States District Court for the Northern District of Ohio. United States v. Mamadou M. M'Bodj, No 1:98 CR 19 (1998). M'Bodj was sentenced to 37 months in prison followed by three years supervised release, and was ordered to make restitution to Centerior Energy Corp. (Centerior) in the amount of $10 million plus interest.

C. The criminal information upon which M'Bodj's criminal conviction was based alleged that beginning in August 1993, and continuing through August 1997, M'Bodj, as president and chief executive officer of Chase Global, engaged in a scheme to defraud Centerior and obtained money from Centerior by false and fraudulent representations and promises. The information further alleged that in August 1993, M'Bodj and Chase Global entered into a Client Services Agreement with Centerior, pursuant to which Chase Global was to invest $10 million of Centerior's short term funds in selected authorized securities in accordance with Centerior's investment policy. The information further alleged that contrary to his representations to Centerior, rather than use the funds given to him by Centerior for investment, M'Bodj used the funds for his own personal expenditures including, among other things, the purchase of securities, two Mercedes Benz automobiles, and to collateralize loans to purchase two Sea Ray Yachts.

III.

In view of the foregoing, it is in the public interest to impose the sanction specified in the Offer of Settlement.

Accordingly, IT IS HEREBY ORDERED that:

Mamadou M. M'Bodj be, and hereby is, barred from association with any broker or dealer.

By the Commission.

Jonathan G. Katz Secretary

http://www.sec.gov/litigation/admin/34-41784.htm


Modified:08/26/1999