Marada Global Corporation, Marada Capital and Hatfield

Litigation Release No. 17441 / March 27, 2002

SEC SEEKS CIVIL CONTEMPT SANCTIONS AGAINST A WELL KNOWN RECIDIVIST OF FEDERAL SECURITIES LAWS AND A ST. PETERSBURG COMPANY FOR VIOLATING A FEDERAL PERMANENT INJUNCTION

SECURITIES AND EXCHANGE COMMISSION V. MARADA GLOBAL CORPORATION, MARADA CAPITAL and HATFIELD, Case No. 94-CV-1504.

The Securities and Exchange Commission ("SEC" or the "Commission") announced that on March 26, 2002, it filed an emergency federal application for an order to show cause why Roc G. Hatfield and Global Diamond Fund, Inc. ("GDF") should not be held in civil contempt for disobeying a prior final judgment of permanent injunction entered against Hatfield, by consent, on September 8, 1995, in SEC v. Marada Global Corporation, Marada Capital and Hatfield, Case No. 94-CV-1504 (the "final judgment"). The final judgment enjoins Hatfield from future violations of Sections 5(a), 5(c) and 17(a) of the Securities Act of 1933 ("Securities Act") and Sections 10(b), 15(a) and 15(g) and Rules 10b-5, 15g-2, 15g-4, 15g-5 and 15g-9 of the Securities Exchange Act of 1934.

In the Application for an Order to Show Cause, the SEC alleged that since at least September 2001 through the present, Hatfield and GDF (a private Florida corporation founded and operated by Hatfield in St. Petersburg, Florida) have been violating Sections 5(c) and 17(a) of the Securities Act and the Marada final judgment by fraudulently offering unregistered securities in the form of nine-month 24% APR high yield secured notes. The SEC further alleged that Hatfield and GDF have failed to disclose to potential investors Hatfield's disreputable past that includes two fraudulent securities schemes that resulted in his being the subject of two prior federal permanent injunctions, an SEC administrative bar from the securities industry, two state securities commission orders and a criminal conviction.

On March 26, 2002, the District Court in Tampa entered an Order to Show Cause Why Hatfield and GDF Should Not Be Held in Civil Contempt, an order freezing Hatfield and GDF's assets, an order prohibiting the destruction of documents and expediting discovery, an order requiring Hatfield and GDF to provide an accounting and an order appointing a receiver. On April 26, 2002, the District Court will hold a hearing to decide the SEC's request for an order holding Hatfield and GDF in civil contempt and other relief.