U.S. SECURITIES AND EXCHANGE COMMISSION Litigation Release No. 15994 / December 7, 1998 Securities and Exchange Commission v. Hahn Truong, Hieu Truong, Hen Truong, Nina Vinh, Mike Pirbazari and Christopher Nguyen, Civil Action No. C-98-21137 SW (N.D. Cal.) The Securities and Exchange Commission ("Commission") announced that on November 30, 1998, the Honorable Spencer Williams, Senior United States District Judge, entered a final judgment against Mike Pirbazari ("Pirbazari") permanently enjoining him from violating the antifraud provisions of the federal securities laws. The final judgment also sets disgorgement of Pirbazari's ill-gotten gains, plus prejudgment interest, at $6,194.62 and imposes a civil penalty of $5,125.00. The Commission's complaint, filed on November 16, 1998, alleges that Hahn Truong used confidential corporate information in selling shares in his then-employer, Molecular Dynamics, Inc. ("Molecular"), and tipped his brothers Hieu Truong ("Hieu") and Hen Truong, and his friend Christopher Nguyen, each of whom sold all of his Molecular shares and sold short additional Molecular shares. The Commission's complaint further alleges that Hieu in turn tipped his sister-in-law, Nina Vinh ("Nina"), who sold all of her Molecular shares, sold short additional Molecular shares and tipped her sister and her friend, Pirbazari, each of whom sold all of her/his Molecular shares. The defendants and Nina's sister avoided losses totaling $294,151 and made short selling profits of $134,985. The final judgment enjoins Pirbazari from future violations of Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. Pirbazari consented to the entry of the final judgment without admitting or denying the Commission's allegations.