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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. 49244 / February 13, 2004

Admin. Proc. File No. 3-11366


In the Matter of

GREGG BECKER



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ORDER MAKING FINDINGS AND IMPOSING REMEDIAL SANCTIONS BY DEFAULT

The Securities and Exchange Commission (Commission) issued its Order Instituting Proceedings (OIP) on December 29, 2003, pursuant to Section 15(b) of the Securities Exchange Act of 1934 (Exchange Act).

An agent for Respondent Gregg Becker (Respondent or Becker) acknowledged receipt of the OIP at Hicksville, N.Y., on January 5, 2004. Under Rule 220(b) of the Commission's Rules of Practice and Paragraph IV of the OIP, Respondent's answer to the OIP was due no later than January 26, 2004. No answer has been received.

On January 28, 2004, I issued an Order requiring Becker to show cause why he should not be held in default for failing to file a timely answer to the OIP. Becker's response to the show cause order was due on or before February 12, 2004. No response has been received.

Accordingly, Respondent is in default within the meaning of Rules 155(a)(2) and 220(f) of the Commission's Rules of Practice, and an Administrative Law Judge may determine the proceeding against him upon consideration of the record, including the OIP, the allegations of which may be deemed to be true.

I find the following allegations in the OIP to be true:

Becker, age 27, was a registered representative of Investors Associates, Inc. (Investors Associates), a firm that was registered with the Commission as a broker and a dealer. About July 12, 1997, Investors Associates ceased business, except for liquidating trades. The Commission cancelled the registration of Investors Associates on September 22, 1998.

Investors Associates was primarily engaged in the business of selling securities that were underwritten and/or recommended by Investors Associates. While working for Investors Associates, Becker participated in public offerings of penny stocks within the meaning of Section 3(a)(51) of the Exchange Act and Exchange Act Rule 3a51-1.

On July 1, 2002, in the United States District Court for the Southern District of New York, a jury found Becker guilty of conspiracy to commit securities, mail, and wire fraud in connection with sales of securities by Investors Associates in violation of 18 U.S.C. 371 and guilty of a substantive count of securities fraud in connection with sales by Investors Associates of Compare Generiks, Inc., securities in violation of Section 10(b) of the Exchange Act and Exchange Act Rule 10b-5.

In its verdict, the jury found that Becker made, and participated with others in making, materially false or misleading statements to brokerage customers concerning the purchase and sale of Compare Generiks, Inc., stock, which was a penny stock within the meaning of Section 3(a)(51) of the Exchange Act and Exchange Act Rule 3a51-1. The court issued a judgment against Becker pursuant to the jury verdict.

In view of the foregoing, I find that it is in the public interest to bar Becker from associating with any broker or dealer, and from participating in the offering of any penny stock.

Pursuant to Section 15(b)(6) of the Securities Exchange Act of 1934:

IT IS ORDERED THAT Gregg Becker is barred from association with any broker or dealer; and

IT IS FURTHER ORDERED THAT Gregg Becker is barred from participating in the offering of any penny stock. The bar includes acting as any promoter, finder, consultant, agent, or other person who engages in activities with a broker, dealer, or issuer for purposes of the issuance or trading in any penny stock, or inducing or attempting to induce the purchase or sale of any penny stock.

James T. Kelly
Administrative Law Judge


http://www.sec.gov/litigation/admin/34-49244.htm


Modified: 02/13/2004