SEC v. Club Atlanta Travel, Inc.
On September 18, 1997, the SEC obtained Final Judgments against Club Atlanta Travel, Inc., David L. Straub, the company's founder and president, and others. The SEC alleges that the defendants raised over $32 million from about 24,000 investors by selling unregistered securities through an instrument called a "CAT Pass." For more information about the SEC's action, you can read Litigation Release No. 15500 (September 18. 1997).
The Court appointed William G. Hays, Jr. as receiver for Club Atlanta Travel. The receiver has set up a website for investors about the litigation that includes answers to frequently asked questions. Given the large number of claims and the small amount of money collected to date, the receiver believes it is highly unlikely that any distribution will be made.