Securities and Exchange Commission
Litigation Release No. 18036 / March 14, 2003
Final Judgment Ordering Permanent Injunction and Officer/Director Bar Against Kenneth L. Weeks
Securities and Exchange Commission v. PanWorld, et al., Case No. 2:97 CV-0425ST (D. Utah.)
The Securities and Exchange Commission (SEC) announced that on March 13, 2003, the Honorable Ted Stewart, United States District Judge for the District of Utah, Central Division, entered a Final Judgment of Permanent Injunction as to Defendant Kenneth L. Weeks. Weeks consented to the entry of the order without admitting or denying the allegations of the complaint. The Commission's complaint, filed on June 2, 1997, alleged that from 1989 through 1995, Ken Weeks, in concert with others, violated the anti-fraud and registration provisions of the federal securities laws. The defendants filed false quarterly and annual reports with the Commission. They also prepared promotional materials designed to fraudulently inflate the value of PanWorld's mineral properties and misrepresent the viability of its business operations. While making these false statements, Weeks and the others solicited a network of "consultants" to fraudulently tout PanWorld stock. Ken Weeks then sold shares of inflated PanWorld stock to unsuspecting public investors.
The order permanently enjoins and restrains Weeks from violating Sections 17(a), 5(a), and 5(c) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. Weeks was also unconditionally and permanently prohibited from acting as an officer or director of any issuer that has a class of securities registred pursuant to Section 12 of the Exchange Act or that is required to file reports pursuant to Section 15(d) of the Exchange Act.