Luis Bulas, Jr.

SECURITIES EXCHANGE ACT OF 1934
RELEASE NO. 43287 / September 13, 2000

ADMINISTRATIVE PROCEEDING
File No. 3-10235

In the Matter of LUIS BULAS, JR., Respondent.

ORDER MAKING FINDINGS AND IMPOSING REMEDIAL SANCTIONS

I.

For the purposes of disposing of the issues raised by these proceedings, Luis Bulas, Jr. ("Bulas" or "Respondent"), has submitted an Offer of Settlement that the Securities and Exchange Commission ("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 in which the Commission is a party, prior to a hearing pursuant to the Commission's Rules of Practice, 17 C.F.R. § 201.100 et seq., and without admitting or denying the findings contained below, except as to the jurisdiction of the Commission over him and over the subject matter of these proceedings, and as to the findings contained in paragraph II.A., below, and as to the entry of the injunction as set forth in paragraph II.D., below, which are admitted, Respondent consents to the entry of this Order Making Findings and Imposing Remedial Sanctions ("Order").

II.

FINDINGS

On the basis of this Order, the Corrected Order Instituting Public Proceedings Pursuant to Sections 15(b) and 19(h) of the Securities Exchange Act of 1934 ("Order Instituting Proceedings"),¹ and the Respondent Bulas' Offer of Settlement, the Commission finds that:

A. At all relevant times, Respondent Bulas was associated with broker-dealers registered with the Commission. Specifically, during the period of April 1993 through December 1996, Respondent Bulas was associated with registered broker-dealer Corporate Securities Group, and during the period of July 1997 through November 1997, Bulas was associated with registered broker-dealer Intersecurities, Inc.

B. On September 23, 1998, the Commission filed a complaint ("Complaint") in the United States District Court for the Southern District of Florida, Securities and Exchange Commission v. Luis Bulas, Jr., No. 98-2238-CIV-LENARD (S.D. Fla.). The Complaint charged Respondent Bulas with violations of Section 17(a) of the Securities Act of 1933, ("Securities Act") and Sections 10(b) and 15(a)(1) of the Securities Exchange Act of 1934 ("Exchange Act") and Rule 10b-5 thereunder.

C. The Commission's Complaint alleged, among other things, that during the period from at least March 1995 through October 1997, Respondent Bulas misappropriated approximately $700,000 from eleven investors. The Complaint alleged that Bulas used various means and devices to defraud investors but usually he made false representations that JLH Financial Inc., an unregistered broker-dealer, and J.L. Henry & Co., a then defunct entity, were registered broker-dealers and that he was a registered representative with those firms. Bulas would then obtain funds from investors on the false pretense that he would invest their monies in stocks, mutual funds, secured promissory notes and other investments when, in reality, he misappropriated their funds.

D. On October 5, 1999, the District Court entered a final judgment of permanent injunction and other relief by default against Respondent Bulas, permanently enjoining him from future violations of Section 17(a) of the Securities Act, and Sections 10(b) and 15(a)(1) of the Exchange Act and Rule 10b-5 thereunder.

III.

ORDER

In view of the foregoing, the Commission deems it appropriate in the public interest and for the protection of investors, to impose the sanction that is set forth in the Offer of Settlement submitted by Respondent Bulas.

Accordingly, IT IS HEREBY ORDERED that:

Effective immediately, Respondent Bulas be, and hereby is, barred from association with any broker or dealer.

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

Jonathan G. Katz
Secretary

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Footnote

¹ On June 21, 2000, the Commission issued the Order Instituting Proceedings against Bulas.