SEC v. Worldwide Markets, Ltd., et al. 

Case No. 2:19-cv-14205 (D.N.J.)

The Commission filed a Complaint in the U.S. District Court for the District of New Jersey on June 25, 2019, alleging that defendants Worldwide Markets, Ltd. (“Worldwide”) and its CEO, Thomas Plaut (“Plaut”), engaged in fraudulent marketing and other deceptive conduct in connection with the unlawful sale of security-based swaps to foreign retail investors. The Commission’s Complaint also charged TAB Networks, Inc. (“TAB”), a company controlled by Plaut, with aiding and abetting the broker’s unlawful offerings and sales of security-based swaps to retail investors, and its failure to register as a broker in the U.S..

Based on its conduct, the Commission alleged that Worldwide violated the antifraud provisions of the federal securities laws as well as various registration provisions. The Commission also charged Plaut with liability for Worldwide’s violations and alleged that TAB aided and abetted Worldwide. See the Commission’s Complaint. 

On March 30, 2022, the District Court entered a final consent judgment (the “Final Judgment”) against Worldwide, Plaut, and TAB, imposing permanent injunctions and penny stock bars and holding them jointly and severally liable for disgorgement of $393,963 along with prejudgment interest thereon of $20,355.10. The District Court also ordered Plaut to pay a civil penalty of $75,000. The Final Judgment provided that the Commission may propose a plan to distribute the funds collected pursuant to the Fair Fund provisions of Section 308(a) of the Sarbanes-Oxley Act of 2002. See the Final Judgment.

The Defendants paid in full all monies ordered in the Final Judgment, and the Commission holds $489,318.10 in a Commission-designated account at the U.S. Department of the Treasury, and any accrued interest will be added to the funds for the benefit of investors harmed by the Defendants’ conduct alleged in the Complaint.

For more information, please contact the Commission:
Office of Distributions
Email: ENFOfficeofDistributions@sec.gov