SECURITIES EXCHANGE ACT OF 1934
Release No. 49672 / May 10, 2004
ADMINISTRATIVE PROCEEDING
File No. 3-11361
In the Matter of PAUL W. MASON (a/k/a LOUIS |
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ORDER MAKING FINDINGS AND IMPOSING REMEDIAL SANCTION BY DEFAULT AGAINST LAURENCE M. ANDERSON |
On December 18, 2003, the Securities and Exchange Commission (Commission) issued its Order Instituting Proceedings (OIP) pursuant to Section 15(b) of the Securities Exchange Act of 1934 (Exchange Act) against Laurence Mark Anderson (Anderson) (a/k/a Ron Laurence) and others. Paragraph III.B of the OIP required a determination as to what, if any, remedial action is appropriate in the public interest against Anderson and the other Respondents pursuant to Section 15(b)(4)(C) of the Exchange Act.
On February 20, 2004, I asked the Commission's Division of Enforcement (Division) to file and serve a brief statement of the specific sanction(s) it seeks pursuant to Section 15(b)(4)(C) of the Exchange Act. The Division responded by explaining that it seeks to bar Anderson and the other Respondents from associating with any broker or dealer (Letter dated February 26, 2004, from Division counsel of record). On February 27, 2004, at the request of the Division, I issued an Order amending the OIP to delete the reference to Section 15(b)(4)(C) of the Exchange Act and to substitute in its place a reference to Section 15(b) of the Exchange Act. See Rule 200(d)(2) of the Commission's Rules of Practice. In all other respects, the amended OIP was identical to the original OIP.
On April 19, 2004, the Division filed a Status Report, demonstrating that an agent for Anderson received the February 27 Order and the amended OIP on April 16, 2004.1 Under Rule 220(b) of the Commission's Rules of Practice and Paragraph IV of the amended OIP, Anderson's answer to the amended OIP was due no later than May 6, 2004. No answer has been received.
Accordingly, Anderson 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 amended OIP, the allegations of which may be deemed to be true.
I find the following allegations in the amended OIP to be true as to Anderson:
Anderson, age 47, is a resident of Los Angeles, California. From in or about the summer of 2001 until approximately September 2001, Anderson offered and sold the securities of North American Medical Products, Inc. (NAMP). The securities were not registered with the Commission and Anderson was not registered with the Commission as a broker or dealer.
On March 11, 2003, the Commission filed a complaint in the United States District Court for the Central District of California against Anderson and others, captioned SEC v. North American Medical Products, Inc., No. SACV 03-250 AHS (ANx). The Commission's complaint alleged that Anderson and others had engaged in the offer and sale of unregistered securities while not registered as brokers or dealers with the Commission. The complaint further alleged that Anderson and others made false and misleading statements and material omissions to prospective investors about, among other things, the amount of the commissions being paid on the sale of NAMP stock and NAMP's business prospects.
On October 6, 2003, in SEC v. North American Medical Products, Inc., the district court entered a judgment by default, permanently enjoining Anderson from violating Sections 5 and 17(a) of the Securities Act of 1933, Sections 10(b) and 15(a) of the Exchange Act, and Exchange Act Rule 10b-5, based on the conduct described above.
In view of the foregoing, I find that it is in the public interest to bar Anderson from associating with any broker or dealer.
Pursuant to Section 15(b) of the Securities Exchange Act of 1934:
IT IS ORDERED THAT Laurence Mark Anderson (a/k/a Ron Laurence) is barred from association with any broker or dealer.
James T. Kelly
Administrative Law Judge
Endnotes