J.T. Wallenbrock & Associates, Citadel Capital Management Group, Larry Toshio Osaki, and Van Y. Ichinotsubo
On January 28, 2002, the SEC obtained an order temporarily enjoining J.T. Wallenbrock & Associates, Larry Toshio Osaki, Van Y. Ichinotsubo, and Citadel Capital Management Group, Inc., from engaging in fraud, making unregistered sales of securities, and acting as unregistered brokers, in violation of federal securities laws. The SEC alleged that the defendants raised at least $200 million from more than 1,000 investors nationwide purportedly to purchase accounts receivable. A preliminary injunction hearing has now been scheduled for May 6, 2002. For more information about the SEC's action, you can read Litigation Release No. 17343 (Jan. 29, 2002).
On February 21, 2002, the Court appointed James H. Donell as the Receiver of Wallenbrock and Citadel. Among other things, Mr. Donell was given the power to oversee all aspects of the operations of Wallenbrock and Citadel, to take control and determine the value of the companies' assets and property, and to gather information on investors. On March 3, 2003, the Court entered permanent injunctions against all of the defendants. See Litigation Release No. 18011 (Mar. 3, 2003).
The Court further ordered Wallenbrock and Citadel to transfer to the Receiver all assets, funds, and other property that they hold in foreign locations within ten days from the date of the Order. For more information, you can read Litigation Release No. 17381 (Feb. 26, 2002).
For the latest information, you can visit the Receiver's website.