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U.S. Securities and Exchange Commission

Before the

Release No. 42066 / October 28, 1999

File No. 3-10086

                        : ORDER INSTITUTING PROCEEDINGS
    In the Matter of    : PURSUANT TO SECTIONS 15(b) AND 19(h)
                        : OF THE SECURITIES EXCHANGE ACT OF
   Vincent J. Iovine    : 1934, MAKING FINDINGS AND IMPOSING
________________________: REMEDIAL SANCTIONS 


The Commission deems it appropriate in the public interest and for the protection of investors that administrative proceedings be instituted pursuant to Sections 15(b) and 19(h) of the Securities Exchange Act of 1934 ("Exchange Act") with respect to Vincent J. Iovine ("Iovine").


In anticipation of these proceedings, Iovine has submitted an Offer of Settlement ("Offer") which the Commission has determined to accept. Solely for the purpose of these proceedings and any other proceedings brought by or on behalf of the Commission or to which the Commission is a party, and without admitting or denying the findings contained herein, except that Iovine admits the jurisdiction of the Commission over him and the subject matter of this proceeding and the matters described in paragraphs III.A, D, E., F. and G of this Order, Iovine has consented to the findings and sanctions set forth below.

Accordingly, IT IS ORDERED that the proceedings pursuant to Sections 15(b) and 19(h) of the Exchange Act be, and they hereby are, instituted.


On the basis of this Order for Proceedings and the Offer submitted by the Respondent, the Commission finds that:

A. Iovine was a registered representative and the head trader at Northeast Securities, Inc. ("Northeast"), a registered broker-dealer, from May 1992 until March 14, 1997. He was registered with various broker-dealers from June 1984 until June 1998.

B. In or about August 1996, the common stock of American Image Motor Co. Inc. ("American Image") became quoted on the National Association of Securities Dealers' OTC Bulletin Board. American Image's common stock has been quoted on the OTC Bulletin Board from August 1996 through at least March 14, 1997.

C. During the time period relevant to this proceeding, the common stock of American Image was not registered or approved for registration upon notice of issuance on a national securities exchange, nor were such securities authorized, or approved for authorization upon notice of issuance for quotation on an automated quotation system sponsored by a registered securities association which was established and in operation before January 1, 1990, nor were such securities issued by a registered investment company. During a portion of the time period relevant to this proceeding the price of American Image common stock was less than five dollars a share. At no time relevant to this proceeding did American Image have net tangible assets in excess of $2,000,000 nor average revenue of $6,000,000 for a three year period.

D. On March 13, 1997, the Commission filed a complaint ("Complaint") to initiate a civil injunctive action, SEC v. Global Financial Traders, Inc., et al. (Docket No. 97 Civ. 1753 DC), in the United States District Court for the Southern District of New York against Iovine, among others, alleging that Iovine violated Section 10(b) of the Securities Exchange Act of 1934 ("Exchange Act") and Rules 10b-5 and 10b-6 promulgated thereunder, and Rule 101 of Regulation M.

E. The Complaint alleges Iovine participated in the distribution of American Image stock by purchasing and selling American Image stock knowing he could resell it to certain Northeast clients as set forth therein without disclosing this arrangement to anyone. It is also alleged that, pursuant to an arrangement with the same Northeast clients, Iovine entered bids for American Image stock in a manner designed to control the flow of such clients' stock into the market.

F. The Complaint further alleges Iovine bid for and purchased shares of American Image stock and resold those shares to certain Northeast clients set forth therein at a time when such clients were engaged in a distribution of American Image stock.

G. On October 25, 1999, the United States District Court for the Southern District of New York issued an order of permanent injunction against Iovine enjoining him from further violations of Section 10(b) of the Exchange Act and Rule 10b-5 promulgated thereunder and Rule 101 of Regulation M and requiring him to pay $69,565.08 in disgorgement and $11,129.63 in prejudgment interest thereon. Payment of disgorgement and prejudgment interest was waived, based upon Iovine's demonstrated inability to pay.


In view of the foregoing, it is in the public interest to impose the sanctions specified in the Offer submitted by Iovine. Accordingly, IT IS ORDERED that:

The Respondent, Vincent J. Iovine be and hereby is:

A. Barred from participating in any offering of any penny stock; and

B. Barred from association with any broker or dealer.

By the Commission.

Jonathan G. Katz