UNITED STATES OF AMERICA
SECURITIES EXCHANGE ACT OF 1934
The Securities and Exchange Commission ("Commission") deems it appropriate and in the public interest that public administrative proceedings be, and hereby are, instituted pursuant to Section 15(b)(6) of the Securities Exchange Act of 1934 ("Exchange Act") against Roger Myatt ("Myatt").
In anticipation of the institution of these proceedings, Myatt has submitted an Offer of Settlement ("Offer") to the Commission, 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 with respect to paragraphs II. A and B, below, which are admitted, Myatt consents to the issuance of this Order Instituting Proceedings, Making Findings and Imposing Remedial Sanctions, and to the entry of the findings and the imposition of the remedial sanctions set forth below.
On the basis of this Order and the Offer of Settlement submitted by Myatt, the Commission finds that:
A. From January 1998 through June 1999, Myatt was an associated person and employee of VSR Financial Services, Inc., a broker-dealer registered with the Commission and a member of the National Association of Securities Dealers Regulation, Inc.
B. On April 16, 2001, Myatt was permanently enjoined from violations of Sections 17(a) of the Securities Act of 1933 ("Securities Act") and Section 10(b) of the Exchange Act and Rule 10b-5 promulgated thereunder, by the United States District Court for the Northern District of Texas [SEC v. Highland Financial, et al., 4: 99-CV-0719-D]. Myatt consented to the entry of permanent injunction without admitting or denying any violation of the federal securities laws, as alleged in the Commission's Complaint.
C. The Commission's Complaint in SEC v. Highland Financial, et al. alleges that Myatt solicited an investment in a security, that is, in a program involving the purchase and sale of high-yield, European bank instruments, and that in fact, no such program existed. The Commission's Complaint alleges that Myatt falsely represented to an investor, through written and verbal communications, directly or indirectly, that the investor could obtain extraordinary profits without investment risk, through trades in high-yield European bank instruments, and that other investors in the same program had received all of their promised returns. The Complaint further alleges that Myatt falsely represented to investors that the trading program was approved by the Securities and Exchange Commission, and that he had spent $100,000 of his personal funds investigating the Program, and had concluded that it was a safe investment.
In view of the foregoing, the Commission deems it appropriate and in the public interest to accept Myatt's Offer of Settlement.
Accordingly, IT IS ORDERED that Myatt be, and hereby is barred from association with any broker or dealer, with the right to reapply for association after one year to the appropriate self-regulatory organization, or if there is none, to the Commission.
By the Commission.