U.S. SECURITIES AND EXCHANGE COMMISSION
Securities and Exchange Act of 1934
Admin. Proceeding File No. 3-10325
In the Matter of Paul Nortman
The SEC instituted public administrative and cease-and-desist proceedings against Paul Nortman. The Division of Enforcement alleges that Nortman, age 69, controlled Alex Moore & Co, Inc., a registered broker-dealer, and was responsible for the accounting function at Alex Moore. The Division further alleges that Nortman (1) negotiated an arrangement with Livetrade.com, Inc, which was not registered as a broker-dealer, whereby the two firms jointly provided online securities trading services; and (2) although aware of Alex Moore's assets and liabilities relating to its online securities trading activities, failed to include that information in Alex Moore's books and records or provide that information to the Financial and Operations Principal who prepared Alex Moore's FOCUS reports for the quarters ended June 30, 1998 and September 30, 1998 and the year ended December 31, 1998. As a result, the Division alleges that Nortman willfully aided and abetted violations of Sections 15(a) of the Exchange Act and Rules 17a-3, 17a-5, and 17a-11 thereunder.
A hearing will be held before an administrative law judge to determine whether the allegations against Nortman are true, and, if so, what remedial action, if any, is appropriate.
In a related action, the SEC instituted and simultaneously settled administrative and cease-and-desist proceedings against Livetrade.com, Inc., a Garden City, New York based online trading firm, Alex Moore, and Michael Weissman, Livetrade's Chief Executive Officer. Without admitting or denying the Commission's findings, Livetrade, Alex Moore and Weissman consented to the issuance of an order making findings against them, imposing remedial sanctions, and directing them to cease and desist from committing or causing violations of Sections 15(a) of the Exchange Act and Rules 17a-3, 17a-5, and 17a-11 thereunder. See Exchange Act Release No.