Chief Litigation Counsel Matthew Martens to Leave SEC
The Securities and Exchange Commission ("Commission") today announced that Matthew T. Martens, the Chief Litigation Counsel for the Division of Enforcement, will leave the agency next month.
Mr. Martens has led the Enforcement Division's litigation program since August 2010, managing cases pending both in federal courts and administrative proceedings at the Commission. The trial unit has 40 attorneys at the SEC's Washington headquarters as well as litigators throughout the agency's 11 regional offices.
Mr. Martens served as lead trial counsel in the SEC's successful prosecution Fabrice Tourre in addition to directly assisting in litigation efforts for several other significant matters. Mr. Martens also developed and directed the SEC's nationwide litigation response to significant changes in the securities laws such as the Supreme Court's decision in Janus Capital.
Last year, Mr. Martens was the recipient of the SEC Chairman's Award for Excellence.
"Matt's outstanding stewardship of the trial unit and his impressive command of the securities laws have resulted in many favorable outcomes for our litigation program," said George S. Canellos, Co-Director of the SEC's Division of Enforcement. "Matt leaves a legacy of great service to the agency and the investing public, and we wish him every success in the future."
Mr. Martens said, "It has been a privilege to lead such a talented and dedicated team of professionals committed to prosecuting wrongdoing in the securities markets. During my time in the Enforcement Division, I have been fortunate to work with great people on significant and challenging matters on behalf of our nation's investors."
Mr. Martens began his legal career as a law clerk for Judge David B. Sentelle of the U.S. Court of Appeals for the D.C. Circuit. He then served as a law clerk for then-Chief Justice William H. Rehnquist of the U.S. Supreme Court. After his clerkships, Mr. Martens worked as a litigation associate for a national law firm and later held several positions in the Criminal Division of the U.S. Department of Justice, eventually becoming chief of staff to the Assistant Attorney General.
Prior to his arrival at the SEC, Mr. Martens served as an assistant U.S. attorney and then the deputy criminal chief of the U.S. Attorney's Office for the Western District of North Carolina. Mr. Martens tried numerous cases to verdict and argued several appeals before the U.S. Court of Appeals for the Fourth Circuit.
Mr. Martens received his B.A. with highest honors from Cedarville College, and his J.D. with highest honors from the University of North Carolina School of Law.
Following the departure of Mr. Martens, the current Deputy Chief Litigation Counsel Matthew C. Solomon will become the Enforcement Division's new Chief Litigation Counsel. (Press Rel. 2013-203)
Matthew Solomon Named SEC Chief Litigation Counsel
The Commission today announced that Matthew C. Solomon will be promoted to the position of Chief Litigation Counsel in the Division of Enforcement next month.
Mr. Solomon has served as Deputy Chief Litigation Counsel since June 2012, assisting the Chief Litigation Counsel in the supervision of the trial unit at the agency's Washington D.C. headquarters as well as coordination with litigators at the SEC's 11 regional offices around the country.
The upcoming departure of the current Chief Litigation Counsel, Matthew T. Martens, also was announced today.
"Matt Solomon is a talented and highly accomplished litigator with a firm grasp of the securities laws and the confidence of our trial lawyers," Andrew Ceresney, Co-Director of the SEC's Division of Enforcement. "With Matt as chief, the SEC will continue to be a formidable and feared trial threat."
Mr. Solomon said, "I am honored to have been chosen as Chief Litigation Counsel. As Deputy Chief, I have worked closely with Mr. Martens and the Division's Co-Directors and I'm excited about the direction of the Division of Enforcement. I look forward to helping continue to build upon the successes of our strong litigation program."
Before joining the SEC staff, Mr. Solomon served as a federal prosecutor for more than 10 years. He served as an assistant U.S. attorney in the U.S. Attorney's Office for the District of Columbia and was later elevated to chief of that office's fraud unit, where he supervised 25 prosecutors handling hundreds of white-collar criminal matters, including securities fraud offenses.
Prior to his work in the U.S. Attorney's Office, Mr. Solomon was a federal prosecutor in the public integrity section of the criminal division of the U.S. Department of Justice. He successfully tried several jury trials to verdict nationwide, involving charges as extortion, money laundering, tax fraud, bribery, and obstruction of justice. In addition to his work as a federal prosecutor, Mr. Solomon served as a counsel to the U.S. Senate Judiciary Committee. He began his legal career as a law clerk to Judge James Robertson of the U.S. District Court for the District of Columbia and then as a law clerk for Judge Dennis Jacobs of the U.S. Court of Appeals for the Second Circuit.
Mr. Solomon received his B.A. magna cum laude from Wesleyan University, and his J.D. magna cum laude from Georgetown University Law Center, where he was notes & comments editor of the Georgetown Law Journal. (Press Rel. 2013-204)
Commission Re-opens Comment Period for Proposed Amendments to Regulation D, Form D and Rule 156
On July 10, 2013, the Commission issued for public comment a number of proposed amendments to Regulation D, Form D and Rule 156 under the Securities Act in Release No. 33-9416 (July 10, 2013) [78 FR 44806 (July 24, 2013)]. In light of the public interest in the proposed amendments, the Commission is re-opening the comment period for an additional 30 days after notice is published in the Federal Register to permit interested persons additional time to analyze and comment on the proposed amendments. (Rel. 33-9458)
In the Matter of OM Investment Management LLC, Gignesh Movalia and Edwin V. Gaw
The Commission today charged a formerly SEC-registered Tampa-based investment adviser, OM Investment Management LLC, its principal, Gignesh Movalia, and its director of investments, Edwin V. Gaw, with fraudulently raising money and making material misrepresentations and omissions relating to OM Global Investment Fund, LLC, an unregistered hedge fund.
According to the SEC's complaint, filed in U.S. District Court for the Southern District of Florida, OM Investment Management, Movalia, and Gaw made material misrepresentations and omissions concerning the fund's holdings and investments, the identity and duties of the fund's auditor, sub-adviser, and administrator, and failed to register the offering and sale of securities. The complaint further alleges that Movalia and OM Investment Management made material omissions concerning the fund's entry into related party transactions, distributed fabricated account statements, misappropriated investor funds, made false statements in regulatory filings with the Commission, and failed to comply with federal securities laws and rules concerning the operation of an advisory business and an investment company.
The defendants have consented to the entry of judgments enjoining them from violating Sections 5(a), 5(c), and 17(a) of the Securities Act of 1933, Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and Sections 206(1), 206(2), and 206(4) of the Investment Advisers Act of 1940 and Rule 206(4)-8 thereunder, with OM Investment Management and Movalia further consenting to be enjoined from violating Sections 203A and 207 of the Investment Advisers Act and Rule 206(4)-2 thereunder and Section 7(a) of the Investment Company Act. OM Investment Management and Movalia also consented to judgments freezing their assets, preventing the destruction of documents, and requiring them to provide an accounting to the Court. The SEC's complaint seeks disgorgement, prejudgment interest, and civil penalties from OM Investment Management and Movalia in an amount to be determined by the Court, while Gaw has agreed to pay a civil penalty of $100,000. Separately, Movalia and Gaw consented to the entry of orders barring them from association with any broker, dealer, investment adviser, municipal securities dealer, municipal advisor, transfer agent, or nationally recognized statistical rating organization.
The SEC's investigation was conducted by Salvatore Massa, Christine Lynch, and Jeffrey Finnell of the Asset Management Unit and Tonya Tullis, Patrick Costello, and Robert Levenson of the Miami Regional Office. Alvaro Soto, Luisa Lipins, and Glen Richards conducted a related SEC examination. (Rel. LR-22822)
Former Vitesse Semiconductor Corporation CEO and CFO Settle Suit Alleging Revenue Recognition and Stock Options Backdating Schemes
Executives to be Permanently Enjoined, to Pay Civil Penalties and Disgorgement, and to be Barred for Ten Years from Serving as an Officer and Director of any Public Company
The Commission also Determines Not to Seek Civil Penalties against Two Other Former Senior Vitesse Employees Based on Their Cooperation
The Commission today settled civil fraud charges against Louis R. Tomasetta, the former Chief Executive Officer and a former Director of Vitesse Semiconductor Corporation (Vitesse), and Eugene F. Hovanec, a former Vice President of Finance, Chief Financial Officer, and Executive Vice President of Vitesse, arising from alleged schemes to improperly recognize revenue and backdate stop option grants.
On December 10, 2010, the Commission charged Tomasetta and Hovanec, and two other former senior Vitesse employees, with perpetrating a scheme from September 2001 to April 2006 to improperly inflate Vitesse's revenues through channel stuffing and the failure to timely record credits. The Commission also charged Tomasetta and Hovanec with perpetrating a scheme from 1995 to 2006 to backdate stock option grants and to fail to record millions of dollars in compensation expenses associated with the backdated grants. Finally, the Commission alleged that Tomasetta and Hovanec attempted to cover-up their options backdating scheme by fabricating fraudulent meeting minutes of the Compensation Committee of Vitesse's Board.
Without admitting or denying the allegations in the Commission's complaint, Tomasetta consented to the entry of a final judgment permanently enjoining him from violating and/or aiding and abetting violations of Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities and Exchange Act of 1934 and Rule 10b-5, as well as the financial reporting, record-keeping, internal controls, false statements to auditors, proxy, and securities reporting provisions of the federal securities laws. Tomasetta also agreed to be barred from serving as an officer or director of any public company for ten years. Tomasetta will pay $2,126,450 in disgorgement, in satisfaction of the Commission's claim to recover the "in-the-money benefit" from his exercise of backdated stock option grants, and a $100,000 civil penalty. Under the terms of the settlement, Tomasetta's disgorgement shall be deemed satisfied by his prior payment of $1,200,000 and his transfer of 814,655 shares of Vitesse stock to the class action Settlement Fund in Louis Grasso v. Vitesse Semiconductor et.al., No CV 06-02639 R (CTx) (C.D. Cal.).
Without admitting or denying the allegations in the Commission's complaint, Hovanec consented to the entry of a final judgment permanently enjoining him from violating and/or aiding and abetting violations of Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities and Exchange Act of 1934 and Rule 10b-5, as well as the financial reporting, record-keeping, internal controls, false statements to auditors, and securities reporting provisions of the federal securities laws. Hovanec also agreed to be barred from serving as an officer or director of any public company for ten years. Hovanec will pay $781,280 in disgorgement, in satisfaction of the Commission's claim to recover the "in-the-money" benefit from his exercise of backdated stock option grants, and a $50,000 civil penalty. Under the terms of the settlement, Hovanec's disgorgement shall be deemed satisfied by his prior payment of $250,000 and his transfer of 458,014 shares of Vitesse stock to the class action Settlement Fund in Louis Grasso v. Vitesse Semiconductor et.al., No CV 06-02639 R (CTx) (C.D. Cal.).
The settlements are subject to the approval of the United States District Court for the Southern District of New York.
The Commission also determined that it would not seek to impose civil monetary penalties against two other defendants—former Vitesse Controller and Chief Financial Officer Yatin D. Mody and former Vitesse Director of Finance Nicole R. Kaplan—due to their timely and substantial cooperation in the Commission's investigation and litigation.
On December 10, 2010, the Commission filed civil fraud charges against Mody and Kaplan for their participation in the revenue recognition scheme, and entered into bifurcated settlements with each of them, on a neither admit nor deny basis. Mody agreed to entry of a judgment permanently enjoining him from violating and/or aiding and abetting the antifraud, reporting and record-keeping provisions of the federal securities laws; permanently barring him from serving as an officer or director of any public company; ordering him to pay $162,320 in disgorgement and prejudgment interest; and providing that, upon motion of the Commission, the court would determine the appropriateness and amount of any civil penalty. Kaplan agreed to entry of a judgment permanently enjoining her from violating and/or aiding and abetting the antifraud, reporting and record-keeping provisions of the federal securities laws; ordering her to pay $47,495 in disgorgement and prejudgment interest; and providing that, upon motion of the Commission, the court would determine the appropriateness and amount of any civil penalty. Both Mody and Kaplan also agreed to permanent suspensions from appearing or practicing before the Commission as accountants. See Litigation Release No. 21769 (December 10, 2010).
The Commission previously filed settled charges in this matter against Vitesse. On December 10, 2010, the Commission charged Vitesse with fraud and other securities violations based on the revenue recognition and stock option backdating schemes noted above. Vitesse settled the matter, on a neither admit nor deny basis, by agreeing to pay a $3 million dollar penalty and to be permanently enjoined from violating the antifraud, reporting, record keeping and proxy statement provisions of the federal securities laws. (See LR- 21729 (December 10, 2010). [SEC v. Vitesse Semiconductor Corporation, Louis R. Tomasetta, Eugene F. Hovanec, Yatin D. Mody and Nicole R. Kaplan, Case No. 10 Civ. 9239 (JSR) (S.D.N.Y., filed December 10, 2010)] (Rel. LR-22825)
SEC Files Fraud Charges against Universal Travel Group, Its Former CEO and Chair, Jiangping Jiang, and Its Former Director, Secretary and Interim CFO, Jing Xie
The Commission today announced the filing of fraud and related charges against Universal Travel Group (UTG), a China-based travel services company, its former CEO and Chair, Jiangping Jiang (Jiang), and its former Director, Secretary and Interim CFO, Jing Xie (Xie). UTG, Jiang and Xie have agreed to settle the SEC's claims against them.
The Commission alleges that UTG, Jiang and Xie failed to disclose cash transfers of approximately $41 million to thirty-four unknown entities in Hong Kong and China between September 2008 and March 2011. The transferred cash derived from private and public stock offerings in the U.S., and UTG claims it was returned to Chinese accounts of its subsidiaries as part of a currency exchange. The complaint alleges that the undisclosed transfers rendered false and misleading the risk factor and liquidity discussions in UTG's public disclosure. The Commission alleges further that the defendants failed to disclose further risks arising from UTG's receipt and usages of cash revenues, and from its inadequate controls over cash and its failure properly to document cash transactions. Further, prior to June 2011 the Commission alleges that the defendants falsely described UTG's business organization, failing to disclose that UTG had transferred certain subsidiaries to third parties pursuant to agreements designed to give UTG the economic benefits of ownership, and UTG materially overstated its revenues and profits in its quarterly reports in 2010. In 2010, UTG is also alleged to have failed to obtain an auditor's attestation to its assessment of internal controls. Jiang and Xie are alleged to have knowingly failed to establish proper internal controls at UTG, caused documents to be falsified, and falsely certified to UTG's internal controls for 2010.
In the settled complaint, the Commission alleges that UTG, Jiang and Xie violated the antifraud provisions of the securities laws, Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 (Exchange Act) and Rule 10b-5 thereunder. The Commission further alleges violations of, or aiding and abetting violations of, the reporting, recordkeeping and internal controls provisions of the federal securities laws, Sections 13(a), 13(b)(2)(A) & (B), and 13(b)(5) of the Exchange Act and Rules 12b-20, 13a-1, 13a-13, 13a-14 and 13b2-1 thereunder. Without admitting or denying the allegations, UTG, Jiang and Xie have consented to the entry of final judgments that: (i) permanently enjoins them from future violations of the federal securities laws; (ii) orders UTG, Jiang and Xie to pay civil penalties of $750,000, $125,000 and $60,000, respectively; and (iii) bars Jiang and Xie from serving as an officer or director of a public company for five years. The proposed settlement is subject to approval by the court.
The SEC's investigation was conducted by Robert Wilson, Brad Mroski and Melissa Robertson.
The Commission also announced today the entry of an order revoking the registration of each class of registered securities of UTG for failure to make required periodic filings with the Commission. See Order Instituting Proceedings, Making Findings and Revoking Registration of Securities Pursuant to Section 12(j) of the Securities Exchange Act of 1934, In the Matter of Universal Travel Group, Administrative Proceeding File No. 3-1552 (LR-22823; Rel. 34-70536)
Commission Obtains Final Judgments against Attorney Involved in 22 Corporate Hijackings and a Relief Defendant
On September 24, 2013, the United States District Court for the Southern District of New York entered a consent final judgment against Nicolette Loisel, a Houston-based attorney, in a pending civil injunctive action in which the Commission charged Loisel, along with others, with hijacking 22 defunct or inactive publicly-traded companies and drafting 28 legal opinion letters falsely representing that offerings of approximately 223 million shares were exempt from the registration requirements of the federal securities laws. The final judgment permanently enjoins Loisel from violating the antifraud and registration provisions of the federal securities laws, prohibits her from participating in any penny stock offering, and orders her to pay disgorgement and prejudgment interest of $143,755. Pursuant to the final judgment, payment of these amounts was waived, and no civil penalty was imposed, in light of her financial condition.
Separately, on September 16, 2013, the court granted summary judgment in favor of the Commission against relief defendant Alena Dubinsky. The court found that Dubinsky opened brokerage accounts in her name through which certain defendants made unregistered sales of shares of issuers which they had hijacked. The final judgment against Dubinsky orders her to pay disgorgement and prejudgment interest in the amount of $1,085,495.55. [SEC v. Irwin Boock, et al., Civil Action No. 09 CV 8261 (S.D.N.Y) (DLC)] (LR- 21243) (October 8, 2009) and (LR-22499) (September 28, 2012). (Rel. LR-22824)
Commission Charges Stock-Collateralized Loan Companies and their Owner with Fraud
The Commission announced that, on September 26, 2013, it filed a civil action in the United States District Court for the Eastern District of Pennsylvania against William Dean Chapman, Jr. (Chapman), a resident of Sterling, Virginia, and his companies, Alexander Capital Markets, LLC and Alexander Financial, LLC (collectively, the Alexander Companies), charging them with operating a fraudulent stock-collateralized loan business.
The Commission's complaint alleges that, from at least June 2006 through June 2009, Chapman and the Alexander Companies raised money by inducing borrowers to transfer ownership of millions of shares of publicly traded securities to them as collateral for purported non-recourse loans based on false promises, including the promise to return the shares, or remit share profits in excess of accrued interest, to borrowers who repaid their loans. By no later than June 2006, Chapman and the Alexander Companies were doing nothing to ensure their ability to repurchase and return shares to borrowers who elected to repay their loans, or remit share profits in excess of accrued interest to borrowers. Instead, they used the proceeds to pay other borrowers, for operating costs, and for their own benefit. This was despite the fact that many of the loan agreements entered into by Chapman and the Alexander Companies with borrowers assured borrowers that the defendants would engage in "hedging" strategies, would "hedge," or would enter into contracts with counterparties that would ensure that the portfolios could be returned. In so doing, they deliberately or recklessly misrepresented to new borrowers that, among other things, they could perform under new agreements. By early 2007, Chapman and the Alexander Companies were unable to honor maturing loan agreements, but continued to enter into new agreements under false pretenses. Defendants also fraudulently accepted over $2 million in loan repayments from at least two borrowers and used the funds to repay other borrowers and for Chapman's personal benefit.
As a result of the conduct described in the complaint, the Commission alleges that the defendants violated the antifraud provisions of the securities laws set forth in Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and seeks permanent injunctions, disgorgement together with prejudgment interest, and civil monetary penalties from the defendants.[SEC v. William Dean Chapman, Jr., Alexander Capital Markets, LLC, and Alexander Financial, LLC,13-CV-5648 (E.D. Pa.) (LR-22820)]
Commission Charges Brian K. Velten for Scheme to Defraud Senior Citizens
The Commission filed a civil injunctive action on September 26, 2013 in the United States District Court for the Southern District of Florida against Brian K. Velten alleging violations of the antifraud provisions of the federal securities laws in connection with his scheme to defraud at least three senior citizens who held accounts at Fidelity Brokerage Services, LLC (Fidelity), a broker-dealer registered with the SEC.
The SEC's complaint alleges that, from no later than July 2009 through at least September 2012, Velten, an unregistered investment adviser, opened accounts for his clients at Fidelity and engaged in a scheme to defraud at least three of them by misappropriating approximately $171,000 from the clients' accounts, making false claims about his ability to generate large profits trading stocks for the clients, and trading stocks on margin without client authorization.
The SEC further alleges that Velten opened accounts online for the clients and obtained the username and PIN information for the accounts, enabling him to access the accounts through Fidelity's website. Velten filled out margin applications online and traded on margin in at least two client accounts without authorization. Trading on margin caused the clients to borrow money from Fidelity to purchase additional securities. In several instances, Velten negotiated checks drawn against client accounts and kept the funds for his own use.
As alleged in the SEC's complaint, Velten violated Section 17(a) of the Securities Act of 1993, Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and Sections 206(1) and 206(2) of the Investment Advisers Act of 1940. The SEC's complaint seeks a permanent injunction prohibiting future violations of the securities laws, disgorgement of all ill-gotten gains, and a civil money penalty against Velten.
The SEC's investigation was conducted in the Miami Regional Office by Laura R. Smith, Senior Counsel, and Fernando Torres, Senior Regional Accountant, under the supervision of Jason R. Berkowitz, Assistant Regional Director. Andrew Schiff, Senior Trial Counsel, will lead the SEC's litigation. [SEC v. Brian K. Velten, Civil Action No. 1:13-cv-23477 (S.D. Fla.)] (Rel. LR-22821)
In the Matter of Michael McGrath, CPA
In the Commission's complaint in Securities and Exchange Commission v. Mercantile Bancorp, Inc., Ted Awerkamp and Michael McGrath, 3:13-cv-3341(Central District of Illinois)] (LR-22817), the Commission alleged that generally accepted accounting principles required Mercantile to disclose a probable, material loss in an amended S-1 filing and to recognize that loss in Mercantile's Form 10-Q for the third quarter of 2010. Mercantile—through its former CEO and former CFO Michael McGrath—did neither. Because it did not recognize that loss in its third quarter financial statements, Mercantile was able to (i) falsely state that its main subsidiary bank had met certain capital ratio thresholds required by the FDIC; (ii) understate its net loss for the quarter and the nine months ending September 30th as $7.5 million and $11 million (instead of at least $12.78 million and at least $16.28 million); and (iii) falsely state that its main subsidiary bank had net income of $1.8 million for first nine months of 2010 when it actually had a net loss of at least $3.48 million during that period. The complaint also alleges that McGrath and Awerkamp misled Mercantile's outside auditor and circumvented the company's internal accounting controls.
The Commission announced the issuance of an Order Instituting Administrative Proceedings, Pursuant to Rule 102(e)(3)(i) of the Commission's Rules of Practice, Making Findings, and Imposing Remedial Sanctions ("Order") against Michael McGrath. The Order finds that, on September 26, 2013, McGrath, a CPA, was permanently enjoined from future violations of Section 17(a)(3) of the Securities Act of 1933, and Sections 10(b) and 13(b)(5) of the Securities Exchange Act of 1934 and Rules 10b-5, 13a-14, 13b2-1 and 13b2-2 thereunder, and aiding and abetting future violations of Sections 13(a), 13(b)(2)(A) and 13(b)(2)(B) of the Exchange Act and Rules 12b-20 and 13a-13 thereunder.
Based on the above, the Order suspends McGrath from appearing or practicing before the Commission as an accountant. (Rel. LR-22817)
Commission Charges Charlotte Investment Advisors with Excessive Fee Scheme
On September 27, 2013, the Commission filed an action in federal court in the Western District of North Carolina, charging Frank Dappah of Charlotte, NC, and his firm, Yatalie Capital Management (a/k/a Yatalie Capital Management Co, Creato Funds L.P., a/k/a Yatalie Capital, Inc., a/k/a Creato Funds, L.P., a/k/a Yatalie Capital Management Co.), a sole proprietorship, with violations of the federal securities laws for charging grossly excessive fees to their advisory clients without authorization or notice and other violations. The Commission's complaint seeks permanent injunctions, disgorgement of ill-gotten gains with prejudgment interest, civil penalties, and an asset freeze against the defendants.
The Commission's complaint alleges that Dappah and his firm took from the clients' fees far in excess of what they were entitled to under the client advisory agreements. The complaint alleges that between March 2012 and July 2013, Dappah took advisory fees of nearly $75,000 on assets under management averaging around $205,000. One client, according to the complaint, lost $9,200 in unauthorized fees to Dappah in less than a year on investments of around $23,000.
The complaint also alleges that the defendants improperly registered Yatalie Capital Management with the Commission as an investment adviser, that they made multiple materially false statements in Yatalie Capital Management's Forms ADV, on the firm's website and elsewhere, and that the defendants failed to maintain client advisory agreements.
The complaint alleges that Dappah and Yatalie Capital Management violated the antifraud provisions of the federal securities laws, Section 10(b) of the Securities Exchange Act of 1934 ("Exchange Act") and Rule 10b-5 thereunder. It further alleges that while acting as investment advisors, the defendants violated Sections 206(1) and Section 206(2) of the Investment Advisers Act of 1940 ("Advisers Act"), the antifraud provisions of the Advisers Act, and Sections 203A, 204, and 207 the Advisers Act and Rules 204-2 and 206(4)-1 thereunder.
The defendants have entered into a consent with the Commission agreeing to the entry by the Court of the relief requested in the complaint.[SEC v. Frank Dappah and Yatalie Capital Management (a/k/ Yatalie Capital Management Co, Creato Funds L.P., a/k/a Yatalie Capital, Inc., a/k/a Creato Funds, L.P., a/k/a Yatalie Capital Management Co.), Civil Action No. 3:13-cv-00546 (W.D.N.C.)] (Rel. LR-22826)
Commission Revokes Registration of Securities of Axcess International, Inc. for Failure to Make Required Periodic Filings
On September 27, 2013, the Commission revoked the registration of each class of registered securities of Axcess International, Inc. (AXSI) for failure to make required periodic filings with the Commission.
Without admitting or denying the findings in the Order, except as to jurisdiction, which it admitted, AXSI consented to the entry of an Order Making Findings and Revoking Registration of Securities Pursuant to Section 12(j) of the Securities Exchange Act of 1934 as to Axcess International, Inc. finding that it had failed to comply with Section 13(a) of the Securities Exchange Act of 1934 (Exchange Act) and Rules 13a-1 and 13a-13 thereunder and revoking the registration of each class of AXSI's securities pursuant to Section 12(j) of the Exchange Act. This order settled the charges brought against AXSI in In the Matter of Axcess International, Inc., et al., Administrative Proceeding File No. 3-15470.
Brokers and dealers should be alert to the fact that Exchange Act Section 12(j) provides, in pertinent part, as follows:
No member of a national securities exchange, broker, or dealer shall make use of the mails or any means or instrumentality of interstate commerce to effect any transaction in, or to induce the purchase or sale of, any security the registration of which has been and is suspended or revoked . . . .
Order Making Findings and Revoking Registration of Securities Pursuant to Section 12(j) of the Securities Exchange Act of 1934 as to Axcess International, Inc., In the Matter of Axcess International, Inc., et al., Administrative Proceeding File No. 3-15470, (Rel. 34-70537)
Order Instituting Administrative Proceedings and Notice of Hearing Pursuant to Section 12(j) of the Securities Exchange Act of 1934, In the Matter of Axcess International, Inc., et al., Administrative Proceeding File No. 3-15470, (Rel. 34-70376)
In the Matter of George B. Franz III and Ruby Corporation
The Commission announced the issuance of an Order Instituting Administrative and Cease-and-Desist Proceedings Pursuant to Sections 203(e), (f), and (k) of the Investment Advisers Act of 1940, Section 21C of the Securities Exchange Act of 1934, and Section 9(b) of the Investment Company Act of 1940 (Order) against George B. Franz III (George Franz) and Ruby Corporation (Ruby), a registered investment adviser owned by George Franz.
In the Order, the Division of Enforcement (Division) alleges that Ruby and its owner George Franz failed to supervise his son, Andrew Franz, an associated person of Ruby. The Order alleges that from 2007 through 2011, Andrew Franz stole approximately $490,000 from about 50 Ruby clients as well as $800,000 from a Franz family trust. The Order alleges that during this time period, George Franz learned of numerous indications of misconduct by Andrew Franz, but took no steps to protect Ruby clients. The Order also alleges that George Franz became aware of numerous instances of fraud by Andrew Franz but chose to conceal his fraud instead of telling Ruby clients the truth. The Order further alleges that as part of his cover-up, George Franz lied to victim clients, insisting that the thefts were due to mistake. George Franz knew that this was false. The Order also alleges that George Franz reimbursed accounts of victim clients without informing them that their funds had been stolen or replaced. The Order further alleges that after Andrew Franz's fraud came to light and Andrew was finally fired from Ruby in May 2011, George Franz commissioned a sham "audit" of Ruby client accounts. The Order alleges that, despite knowing it was a sham, George Franz cited this "audit" to numerous Ruby clients, causing them to falsely believe that if they had not been identified as a victim in the "audit," they could rest assured that they had not been stolen from.
The Order also alleges that during the Commission's investigation into this matter, George Franz repeatedly lied under oath during testimony before the Commission, including falsely claiming that he had disclosed to all known victims of Andrew Franz's fraud the fact that they had been victims of misappropriation from their accounts. The Order further alleges that in an attempt to support his lies, George Franz produced to the SEC fabricated letters from himself to four victims - letters that were never actually sent to the clients. The Order alleges that some of these fabricated letters purported to reflect conversations in which George Franz supposedly disclosed Andrew Franz's fraud to the clients, but that these conversations never took place. The Order also alleges that George Franz shredded Ruby documents containing evidence of Andrew's fraud.
A hearing will be scheduled before an Administrative Law Judge to determine whether the allegations contained in the Order are true, and to provide the Respondents an opportunity to dispute these allegations, and to determine what, if any, remedial sanctions are appropriate and in the public interest. (Rel. 34-70533)
Immediate Effectiveness of Proposed Rule Change
A proposed rule change filed by NASDAQ OMX BX, Inc. relating to pricing for certain options symbols (SR-BX-2013-052) has become effective pursuant to Section 19(b)(3)(A) of the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of September 23rd. (Rel. 34-70539)
A proposed rule change filed by NASDAQ OMX BX, Inc. to the Clearly Erroneous Rule (SR-BX-2013-053) has become effective pursuant to Section 19(b)(3)(A) of the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of September 23rd. (Rel. 34-70542)
A proposed rule change filed by The Nasdaq Stock Market LLC to amend the NASDAQ listing standards related to compliance determinations for market value of listed securities and market value of publicly-held shares deficiencies (SR-NASDAQ-2013-128) has become effective pursuant to Section 19(b)(3)(A) of the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of September 23rd. (Release No. 34-70535)
A proposed rule change filed by Chicago Board Options Exchange, Incorporated to amend CBOE Rule 53.22 related to CBSX Remote Market-Maker appointments (SR-CBOE-2013-089) has become effective pursuant to Section 19(b)(3)(A) of the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of September 23rd. (Rel. 34-70540)
A proposed rule change filed by Miami International Securities Exchange LLC to amend Exchange Rule 503 (SR-MIAX-2013-45) has become effective pursuant to Section 19(b)(3)(A) of the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of September 23rd. (Rel. 34-70543)
A proposed rule change filed by Chicago Stock Exchange, Inc. to adopt a market data revenue rebates program (SR-CHX-2013-18) has become effective pursuant to Section 19(b)(3)(A) of the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of September 23rd. (Rel. 34-70546)
The Options Clearing Corporation ("OCC") filed a proposed rule change (File No. SR-OCC-2013-15) under Section 19(b)(1) of the Securities Exchange Act of 1934, which became effective upon filing, to correct an inadvertent omission in a prior rule change filing related to the related to the definition of hedge clearing member. Publication is expected in the Federal Register during the week of September 23rd. (Rel. 34-70545)
A proposed rule change filed by BATS Exchange, Inc. to modify the trading halt rule of BATS Options (SR-BATS-2013-052) has become effective pursuant to Section 19(b)(3)(A) of the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of September 23rd. (Rel. 34-70548)
The following registration statements have been filed with the SEC under the Securities Act of 1933. The reported information appears as follows: Form, Name, Address and Phone Number (if available) of the issuer of the security; Title and the number and/or face amount of the securities being offered; Name of the managing underwriter or depositor (if applicable); File number and date filed; Assigned Branch; and a designation if the statement is a New Issue.
Registration statements may be viewed in person in the Commission's Public Reference Branch at 100 F Street, N.E., Washington, D.C. To obtain paper copies, please refer to information on the Commission's Web site at http://www.sec.gov/answers/publicdocs.htm. In most cases, you can view and download this information by using the search function located at http://www.sec.gov/edgar/searchedgar/companysearch.html.
S-1 Sunchip Technology, Inc., 2501 EAST ARAGON BLVD, UNIT 1, SUNRISE, FL, 33313, 954-366-9470 - 30,000,000 ($30,000.00) Equity, (File 333-191385 - Sep. 26) (BR. 03A) S-4 ICAHN ENTERPRISES L.P., 767 FIFTH AVENUE, SUITE 4600, NEW YORK, NY, 10153, 212-702-4300 - 0 ($500,000,000.00) Non-Convertible Debt, (File 333-191386 - Sep. 26) (BR. 05B) N-2 Nuveen Quality Municipal 2018 Term Fund, 333 W. WACKER DR., CHICAGO, IL, 60606, 3129178146 - 1,000 ($10,150.00) Equity, (File 333-191387 - Sep. 26) (BR. 18) S-1 Southeastern Grocers, LLC, 5050 EDGEWOOD COURT, JACKSONVILLE, FL, 32254, 904-783-5000 - 0 ($500,000,000.00) Equity, (File 333-191389 - Sep. 26) (BR. 02) S-3 APPALACHIAN POWER CO, 1 RIVERSIDE PLAZA, COLUMBUS, OH, 43215, 614-716-1000 - 0 ($1,000,000.00) Debt, (File 333-191392 - Sep. 26) (BR. 02B) S-8 CAMERON INTERNATIONAL CORP, 1333 WEST LOOP SOUTH, STE 1700, HOUSTON, TX, 77027, 7135133322 - 0 ($768,820,000.00) Equity, (File 333-191393 - Sep. 26) (BR. 04B) S-3D COLE CORPORATE INCOME TRUST, INC., 2325 EAST CAMELBACK ROAD, SUITE 1100, PHOENIX, AZ, 85016, 602-778-8700 - 10,000,000 ($95,000,000.00) Equity, (File 333-191400 - Sep. 26) (BR. 08B) S-8 Summer Infant, Inc., 1275 PARK EAST DRIVE, WOONSOCKET, RI, 02895, 401-334-9966 - 0 ($1,905,162.50) Equity, (File 333-191405 - Sep. 26) (BR. 06B) F-3ASR Ship Finance International LTD, 14 PAR-LA-VILLE ROAD, HAMILTON, HM 08, D0, 00000-0000, 441-295-9500 - 0 ($76,350.00) Equity, (File 333-191406 - Sep. 26) (BR. 05A) S-1 NUTRAFUELS INC, 5851 HOLMBERG ROAD, SUITE 2511, PARKLAND, FL, 33067, 888 509 8901 - 1,699,997 ($3,399,994.00) Equity, (File 333-191407 - Sep. 26) (BR. ) S-1 LIBERTY STAR URANIUM & METALS CORP., 5610 E SUTLER LANE, TUCSON, AZ, 85712, 520-731-8786 - 244,500,000 ($4,890,000.00) Equity, (File 333-191408 - Sep. 26) (BR. 09A) S-8 ICEWEB INC, 22900 SHAW ROAD, SUITE 111, STERLING, VA, 20166, 571-287-2400 - 25,000,000 ($662,500.00) Equity, (File 333-191411 - Sep. 26) (BR. 03B)
Recent 8K Filings
Form 8-K is used by companies to file current reports on the following events:
8-K reports may be viewed in person in the Commission's Public Reference Branch at 100 F Street, N.E., Washington, D.C. To obtain paper copies, please refer to information on the Commission's Web site at http://www.sec.gov/answers/publicdocs.htm. In most cases, you can view and download this information by using the search function located at http://www.sec.gov/edgar/searchedgar/companysearch.html.
STATE NAME OF ISSUER CODE 8K ITEM NO. DATE COMMENT 99 CENTS ONLY STORES CA 7.01,9.01 09/26/13 Accenture plc L2 2.02,9.01 09/26/13 ACCENTURE SCA 2.02,9.01 09/26/13 AEHR TEST SYSTEMS CA 2.02,9.01 08/31/13 AGENUS INC DE 7.01,9.01 09/26/13 AGIOS PHARMACEUTICALS INC DE 5.02 09/24/13 AIR PRODUCTS & CHEMICALS INC /DE/ DE 5.02,9.01 09/25/13 AIRWARE LABS CORP. DE 5.02 09/25/13 ALERE INC. DE 8.01,9.01 09/26/13 ALICO INC FL 8.01,9.01 09/25/13 Alliance Bancorp, Inc. of Pennsylvani PA 8.01,9.01 09/26/13 Alliqua, Inc. FL 1.01,8.01,9.01 09/25/13 ALTERNATE ENERGY HOLDINGS, INC. NV 5.02 09/25/13 AMERICAN REALTY CAPITAL HEALTHCARE TR MD 2.01,9.01 09/24/13 American Residential Properties, Inc. MD 7.01 09/26/13 Ampio Pharmaceuticals, Inc. DE 1.01,8.01,9.01 09/25/13 Apollo Commercial Real Estate Finance MD 7.01,9.01 09/26/13 Apollo Commercial Real Estate Finance MD 8.01,9.01 09/24/13 Apollo Commercial Real Estate Finance MD 2.03 09/20/13 ASHFORD HOSPITALITY TRUST INC MD 7.01,9.01 09/26/13 ASPEN GROUP, INC. DE 2.03,3.02,5.02,9.01 09/25/13 ASSOCIATED ESTATES REALTY CORP OH 1.01,9.01 09/25/13 AUTHENTIDATE HOLDING CORP DE 2.02,9.01 09/26/13 BANK OF SOUTH CAROLINA CORP SC 8.01,9.01 09/26/13 BANNER CORP WA 1.01,9.01 09/24/13 Behringer Harvard Opportunity REIT II MD 2.01,9.01 09/20/13 BEST BUY CO INC MN 5.02,5.03,7.01,9.01 09/24/13 Bonanza Goldfield Corp. NV 1.01 09/26/13 CAESARS ENTERTAINMENT Corp DE 8.01,9.01 09/25/13 CAESARS ENTERTAINMENT Corp DE 8.01 09/25/13 CANTEL MEDICAL CORP DE 2.02,9.01 09/26/13 CapLease, Inc. 5.02,9.01 09/24/13 CAPSTEAD MORTGAGE CORP MD 7.01,9.01 09/26/13 CHEMBIO DIAGNOSTICS, INC. NV 7.01,9.01 09/26/13 CHESAPEAKE ENERGY CORP OK 7.01,8.01,9.01 09/04/13 China Advanced Construction Materials DE 2.02,9.01 09/25/13 CIBER INC DE 5.02 09/24/13 CITIGROUP INC DE 9.01 09/19/13 CITY HOLDING CO WV 7.01 09/26/13 CODESMART HOLDINGS, INC. FL 1.01,2.01,3.02, 05/03/13 AMEND 5.01,5.02,5.03,5.06,9.01 COLLECTORS UNIVERSE INC DE 1.01,5.02,9.01 09/23/13 CommonWealth REIT MD 1.01,5.03,8.01,9.01 09/20/13 COMMUNITY BANCORP /VT VT 8.01,9.01 09/24/13 CONTINENTAL RESOURCES, INC OK 1.02,5.02,9.01 09/20/13 CORNERSTONE BANCSHARES INC 5.02,9.01 09/26/13 CUBIST PHARMACEUTICALS INC DE 5.02 09/23/13 CYPRESS SEMICONDUCTOR CORP /DE/ DE 2.02,9.01 09/24/13 Diamond Resorts International, Inc. DE 1.01,2.03,9.01 09/20/13 Dividend Capital Diversified Property MD 5.03,8.01,9.01 09/15/13 DOT HILL SYSTEMS CORP DE 2.02,8.01,9.01 09/26/13 DOT HILL SYSTEMS CORP DE 2.02,8.01,9.01 09/26/13 AMEND DUPONT FABROS TECHNOLOGY, INC. MD 1.01,2.03,3.03, 09/24/13 8.01,9.01 EARTHSTONE ENERGY INC DE 7.01,9.01 09/25/13 EMMAUS LIFE SCIENCES, INC. DE 5.07 09/23/13 ENDOCYTE INC DE 7.01 09/25/13 ENERGY XXI (BERMUDA) LTD D0 1.01,2.03,8.01,9.01 09/23/13 FAL EXPLORATION CORP. NV 1.01,3.02,9.01 09/06/13 Federal Home Loan Bank of Atlanta X1 2.03 09/23/13 Federal Home Loan Bank of Boston X1 2.03 09/23/13 Federal Home Loan Bank of Indianapoli X1 2.03,9.01 09/26/13 Federal Home Loan Bank of New York X1 2.03,9.01 09/23/13 Federal Home Loan Bank of Pittsburgh PA 2.03,9.01 09/23/13 Federal Home Loan Bank of Topeka 2.03,9.01 09/23/13 FEDERAL HOME LOAN MORTGAGE CORP 7.01,9.01 09/26/13 FERRELLGAS PARTNERS L P DE 2.02,7.01,9.01 09/26/13 Fibrocell Science, Inc. DE 8.01,9.01 09/25/13 Fibrocell Science, Inc. DE 1.01,8.01,9.01 09/26/13 FIRST COMMUNITY BANCSHARES INC /NV/ NV 5.03,9.01 09/24/13 First Internet Bancorp IN 7.01,9.01 09/26/13 FLOW INTERNATIONAL CORP WA 1.01,3.03,7.01,9.01 09/25/13 FNB CORP/FL/ FL 5.07,8.01,9.01 09/25/13 FOCUS GOLD Corp 3.02,9.01 09/20/13 FULLER H B CO MN 2.02,9.01 09/25/13 GAIN Capital Holdings, Inc. DE 1.01,2.01,2.03, 09/24/13 3.02,9.01 GANNETT CO INC /DE/ DE 8.01,9.01 09/26/13 GateHouse Media, Inc. DE 1.01,2.01,8.01,9.01 09/26/13 GateHouse Media, Inc. DE 8.01,9.01 09/26/13 GATX CORP NY 8.01,9.01 09/26/13 GENCORP INC OH 5.02 09/24/13 GENERAL MILLS INC DE 5.07 09/24/13 GeNOsys, Inc. UT 5.02 09/19/13 GLOBAL POWER EQUIPMENT GROUP INC. DE 5.02 09/20/13 Global Telecom & Technology, Inc. DE 7.01 09/26/13 GlyEco, Inc. NV 5.02 09/20/13 GMX RESOURCES INC OK 7.01,9.01 09/24/13 Government Properties Income Trust MD 1.01,8.01,9.01 09/20/13 GS Valet, Inc. NV 5.03,8.01,9.01 09/26/13 GULF RESOURCES, INC. DE 1.01,8.01,9.01 09/25/13 GYRODYNE CO OF AMERICA INC NY 5.02 09/26/13 HAMPTON ROADS BANKSHARES INC VA 5.02,9.01 09/25/13 HERITAGE OAKS BANCORP CA 7.01,9.01 09/26/13 Home Federal Bancorp, Inc. MD 1.01,9.01 09/24/13 HOSPITALITY PROPERTIES TRUST MD 1.01,9.01 09/20/13 Huron Consulting Group Inc. DE 1.01,9.01 09/25/13 ICEWEB INC DE 8.01,9.01 09/25/13 IDERA PHARMACEUTICALS, INC. DE 1.01,8.01,9.01 09/25/13 ILLINOIS TOOL WORKS INC DE 8.01 09/26/13 Imperial Holdings, Inc. 8.01,9.01 09/26/13 INDEPENDENT BANK CORP /MI/ MI 5.02 09/24/13 INTEGRATED ELECTRICAL SERVICES INC DE 5.02,9.01 09/22/13 INTERSIL CORP/DE DE 1.01,5.02,9.01 09/26/13 J C PENNEY CO INC DE 5.02 09/20/13 JEFFERSON BANCSHARES INC TN 8.01 09/25/13 JTH Holding, Inc. DE 2.02,9.01 09/26/13 KALOBIOS PHARMACEUTICALS INC DE 1.01,8.01,9.01 09/25/13 Kior Inc DE 1.01,7.01,9.01 09/25/13 KKR Financial Holdings LLC DE 8.01 09/24/13 KMG CHEMICALS INC TX 5.02,9.01 09/24/13 Landmark Apartment Trust of America, 3.02 09/20/13 Landmark Apartment Trust of America, 2.01,9.01 07/23/13 AMEND LEAR CORP DE 5.02,9.01 09/26/13 LEHMAN BROTHERS HOLDINGS INC. PLAN TR 7.01,9.01 09/25/13 LILM, INC. NV 5.01,5.02,9.01 09/24/13 MARVELL TECHNOLOGY GROUP LTD D0 5.02,9.01 09/20/13 MCCORMICK & CO INC MD 7.01,9.01 09/26/13 MEDICINOVA INC DE 5.02,9.01 09/21/13 META FINANCIAL GROUP INC DE 5.02,9.01 09/24/13 METROSPACES, INC. FL 2.02,9.01 09/25/13 MICROFINANCIAL INC MA 5.07 05/09/13 AMEND MICROSOFT CORP WA 7.01,9.01 09/26/13 MICROSOFT CORP WA 5.02,9.01 09/21/13 MILLER ENERGY RESOURCES, INC. TN 1.01,3.03,5.03, 09/20/13 7.01,8.01,9.01 Minerco Resources, Inc. NV 8.01,9.01 09/26/13 ModusLink Global Solutions Inc DE 8.01,9.01 09/26/13 MONMOUTH REAL ESTATE INVESTMENT CORP MD 5.02,9.01 09/26/13 AMEND NATIONAL HEALTH INVESTORS INC MD 2.01,9.01 09/26/13 NATIONAL TAX CREDIT INVESTORS II CA 1.01,9.01 09/20/13 Nationstar Mortgage Holdings Inc. DE 1.01,2.03,9.01 09/24/13 NEKTAR THERAPEUTICS DE 8.01,9.01 09/26/13 NET TALK.COM, INC. FL 4.01,9.01 09/23/13 NEW JERSEY RESOURCES CORP NJ 7.01,9.01 09/26/13 NEWLINK GENETICS CORP 8.01,9.01 09/26/13 NGP Capital Resources Co MD 1.01,2.03 09/24/13 NIKE INC OR 2.02,9.01 09/26/13 Noble Corp / Switzerland V8 9.01 09/25/13 AMEND NORTHERN TECHNOLOGIES INTERNATIONAL C DE 7.01,9.01 09/26/13 NUTRANOMICS, INC. NV 7.01,9.01 09/25/13 OMNICELL, Inc CA 1.01,2.03,9.01 09/25/13 ONE WORLD HOLDINGS, INC. NV 9.01 09/25/13 Oneida Financial Corp. MD 8.01,9.01 09/25/13 OPEN TEXT CORP A6 1.01,3.03,5.03, 09/26/13 5.07,8.01,9.01 OptimizeRx Corp NV 8.01,9.01 09/25/13 PAN AMERICAN GOLDFIELDS LTD DE 1.01,5.02 09/20/13 Paracap CORP NV 4.01 05/01/13 Patriot Coal CORP DE 8.01 09/23/13 PDL BIOPHARMA, INC. DE 1.02 09/24/13 PENN NATIONAL GAMING INC PA 8.01 09/23/13 PIZZA INN HOLDINGS, INC /MO/ 2.02,9.01 09/25/13 PLY GEM HOLDINGS INC DE 7.01 09/26/13 PNM RESOURCES INC NM 8.01 09/26/13 Polypore International, Inc. 8.01,9.01 09/26/13 Power REIT MD 8.01 09/26/13 PROSPECT GLOBAL RESOURCES INC. NV 1.01,3.02,8.01,9.01 09/25/13 PROVECTUS PHARMACEUTICALS INC NV 3.02 09/20/13 PUBLIC SERVICE ENTERPRISE GROUP INC NJ 7.01 09/26/13 PVF CAPITAL CORP OH 5.07,8.01,9.01 09/25/13 QUINT MEDIA INC. NV 1.01,2.03,9.01 09/24/13 RALPH LAUREN CORP DE 1.01,2.03,9.01 09/23/13 Rand Logistics, Inc. DE 5.07 09/24/13 RCS Capital Corp DE 7.01,8.01,9.01 09/26/13 Regado Biosciences Inc DE 2.05 09/26/13 Reis, Inc. MD 5.02 09/26/13 RENTECH INC /CO/ CO 1.01,2.03 09/23/13 RESPONSE BIOMEDICAL CORP A1 1.01,3.02,8.01,9.01 09/26/13 Revolution Lighting Technologies, Inc DE 7.01,9.01 09/26/13 RiceBran Technologies CA 1.01,3.02,9.01 09/24/13 Rio Bravo Oil, Inc. NV 1.01,9.01 09/26/13 ROI Acquisition Corp. II 8.01,9.01 09/20/13 Rose Rock Midstream, L.P. DE 1.01,2.03,9.01 09/20/13 rue21, inc. DE 7.01,8.01 09/26/13 RUSH ENTERPRISES INC \TX\ TX 8.01,9.01 09/23/13 SAN DIEGO GAS & ELECTRIC CO CA 5.02 09/24/13 Select Income REIT MD 1.01,8.01,9.01 09/20/13 SELECTIVE INSURANCE GROUP INC NJ 1.01,1.02,2.03 09/26/13 SemGroup Corp DE 1.01,2.03,9.01 09/20/13 SENIOR HOUSING PROPERTIES TRUST MD 1.01,8.01,9.01 09/20/13 SMITHFIELD FOODS INC VA 5.07,8.01,9.01 09/24/13 SMITHFIELD FOODS INC VA 2.01,2.03,3.01,3.03, 09/26/13 5.01,5.02,5.03,8.01,9.01 SONO TEK CORP NY 7.01,9.01 09/26/13 Speed Commerce, Inc. MN 1.01,8.01,9.01 09/25/13 SPHERIX INC DE 8.01,9.01 09/26/13 SQN AIF IV, L.P. 5.02 09/20/13 SQN Alternative Investment Fund III, DE 5.02 09/20/13 STERLING CONSOLIDATED Corp NV 1.01,3.02,9.01 09/16/13 Strategic Realty Trust, Inc. MD 7.01,9.01 09/26/13 STREAMLINE HEALTH SOLUTIONS INC. DE 7.01,9.01 09/25/13 SurePure, Inc. NV 1.01,3.02,9.01 09/20/13 SURPURE, INC. 5.03,9.01 09/16/13 TECUMSEH PRODUCTS CO MI 7.01 09/23/13 Tennessee Valley Authority 2.03 09/24/13 TESORO CORP /NEW/ DE 2.01,9.01 09/25/13 Texas Gulf Energy Inc NV 1.01 09/24/13 TFS Financial CORP DE 7.01 09/26/13 THOR INDUSTRIES INC DE 2.02,9.01 09/26/13 TITAN INTERNATIONAL INC IL 7.01,9.01 09/26/13 Titan Iron Ore Corp. NV 1.01,3.02,9.01 09/18/13 TOMI Environmental Solutions, Inc. FL 5.02,9.01 09/26/13 TWENTY-FIRST CENTURY FOX, INC. 8.01,9.01 09/26/13 UBL Interactive,Inc. DE 1.01,5.02,9.01 09/20/13 UDR, Inc. MD 8.01,9.01 09/26/13 United Continental Holdings, Inc. DE 7.01,9.01 09/26/13 United Health Products, Inc. NV 7.01,9.01 09/26/13 UNITED TECHNOLOGIES CORP /DE/ DE 8.01,9.01 09/23/13 USmart Mobile Device Inc. 5.02 09/25/13 VALENCE TECHNOLOGY INC DE 8.01,9.01 09/26/13 VALERO ENERGY CORP/TX DE 7.01,9.01 09/26/13 VECTOR GROUP LTD DE 7.01,9.01 09/26/13 Venaxis, Inc. CO 8.01,9.01 09/26/13 VENTAS INC DE 8.01,9.01 09/26/13 Vertex Energy Inc. NV 5.07 06/07/13 AMEND VIASPACE Inc. 1.01,3.02,9.01 09/24/13 Viggle Inc. DE 3.02 09/25/13 VISTA GOLD CORP B0 1.01,2.03,3.02, 09/26/13 7.01,9.01 VITRAN CORP INC A6 1.01,9.01 09/23/13 VITRAN CORP INC A6 7.01,9.01 09/26/13 WASHINGTON FEDERAL INC WA 8.01 09/26/13 WEBSTER FINANCIAL CORP DE 5.02,8.01,9.01 09/22/13 WHITING PETROLEUM CORP DE 2.03,8.01,9.01 09/23/13 Winthrop Realty Trust OH 7.01,9.01 09/25/13 WORTHINGTON INDUSTRIES INC OH 2.02,7.01,9.01 09/25/13 WOUND MANAGEMENT TECHNOLOGIES, INC. TX 1.01,3.02,9.01 09/20/13 XENOPORT INC DE 1.01 09/25/13