U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 20855 / January 15, 2009
Securities and Exchange Commission v. Marco Glisson, Civil Action No. 2:09-cv-00104
SEC CHARGES LAS VEGAS MAN WITH MAKING A MARKET IN DEREGISTERED SECURITIES
The Securities and Exchange Commission ("Commission") announced today that it filed a civil injunctive action in the United States District Court of Nevada against Marco Glisson, a resident of Las Vegas, Nev., alleging that he illegally sold deregistered securities of CMKM Diamonds, Inc. On Oct. 28, 2005, CMKM's registration with the Commission was revoked. From December 2005 through April 2007, Glisson allegedly acted as an unregistered broker-dealer by purchasing and selling deregistered CMKM securities. Through this unlawful conduct, Glisson realized gross proceeds of at least $2 million.
According to the complaint, Glisson, a former auto worker and restaurant employee, identified potential buyers and sellers by frequenting CMKM related internet chat rooms and through referrals from past buyers and sellers. Glisson then negotiated the terms of the transaction and consummated it by exchanging money for the pertinent CMKM stock certificate. Through these practices, Glisson made a market in deregistered CMKM securities at a time when legitimate broker-dealers refused to execute such purchases or sales because of the Commission's deregistration of CMKM.
The Commission's complaint alleges that Glisson violated Sections 5(a) and 5(c) of the Securities Act and Section 15(a) of the Securities & Exchange Act. The Commission seeks a permanent injunction against Glisson prohibiting him from future violations of the relevant federal securities laws, disgorgement with prejudgment interest, civil penalties and an order prohibiting Glisson from participating in the offering of any penny stock.
