SECURITIES AND EXCHANGE COMMISSION
LITIGATION RELEASE NO. 16672 / August 31, 2000
SECURITIES AND EXCHANGE COMMISSION v. DEAN H. HARRIS, United States District Court for the Northern District of Georgia, Civil Action No. 1: 00-CV-2269
A complaint was filed by the Commission on August 30, 2000, in the United States District Court for the Northern District of Georgia against Dean H. Harris, a former registered representative with the Atlanta office of a broker-dealer.
The complaint alleges that from April 1995 through August 1997, Harris acted with others to cause the misappropriation and fraudulent transfer of over $13 million in funds and securities from State Mutual Insurance Company (State Mutual), of Rome, Georgia, through unauthorized securities transactions and unauthorized transfers of money. Harris received kickbacks of approximately $1.3 million for his role in these unauthorized securities transactions and unauthorized transfers of money.
The complaint seeks a permanent injunction enjoining Harris 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.
Harris, without admitting or denying the allegations made against him, has consented to a judgment of permanent injunction which enjoins him from future violations of Section 17(a) of the Securities Act and Section 10(b) of the Exchange Act and Rule 10b-5. The Commission has filed a proposed final judgment with the court.
This action is a continuation of the Commission's investigation concerning the misappropriation of funds and securities of State Mutual. The Commission has previously obtained a permanent injunction and other relief against Robert J. Strauss, State Mutual's vice president and portfolio manager. See Litigation Rel. No. 16378.