SECURITIES AND EXCHANGE COMMISSION
LITIGATION RELEASE NO. 16871 / January 24, 2001
SECURITIES AND EXCHANGE COMMISSION v. RALPH GLASGAL, Civil Action No. 1:01CV00117(TFH), USDC, DDC, (filed January 22, 2001)
On January 22, the Commission filed a complaint in the United States District Court for the District of Columbia against Ralph Glasgal (Glasgal). The Commission alleged that with respect to his beneficial ownership of the equity securities of Datatec Systems, Inc. (Datatec), formerly known as Glasgal Communications, Inc., Glasgal violated Sections 13(d) and 16(a) of the Securities Exchange Act of 1934 (Exchange Act), and Rules 13d-1, 13d-2, 16a-2 and 16a-3 thereunder, by (1) failing to file or failing to timely file four amendments to Schedule 13D, and by (2) failing to file or failing to timely file twenty Forms 4 and 5 reporting his beneficial ownership of, and transactions with respect to, the equity securities of Datatec. The total value of the transactions at issue for Glasgal is approximately $4.49 million. The Commission requested the court to impose a civil penalty on Glasgal, pursuant to Section 21(d)(3) of the Exchange Act. Without admitting or denying the allegations in the complaint, Glasgal consented to the entry of a final judgment imposing a civil penalty of $10,000.
In a related matter, the Commission issued an administrative Order pursuant to Section 21C of the Exchange Act, finding that Glasgal violated the provisions of the Exchange Act as set forth above. Without admitting or denying the allegations in the Commission's Order, Glasgal consented to the entry of the Order requiring him to cease and desist from committing or causing any violations or future violations of such Exchange Act provisions.