Securities Exchange Act of 1934
Release No. 46584 / October 2, 2002
Investment Advisers Act of 1940
Release No. 2066 / October 2, 2002
Administrative Proceeding
File No. 3-10908
In the Matter of MICHAEL PLOSHNICK, Respondent. |
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ORDER INSTITUTING PUBLIC ADMINISTRATIVE PROCEEDINGS PURSUANT TO SECTION 15(b) OF THE SECURITIES EXCHANGE ACT OF 1934 AND SECTION 203(f) OF THE INVESTMENT ADVISERS ACT OF 1940, MAKING FINDINGS AND IMPOSING REMEDIAL SANCTIONS |
I.
The Securities and Exchange Commission ("Commission") deems it appropriate and in the public interest to institute public administrative proceedings pursuant to Section 15(b) of the Securities Exchange Act of 1934 ("Exchange Act") and Section 203(f) of the Investment Advisers Act of 1940 ("Advisers Act") against Michael Ploshnick ("Respondent").
II.
In anticipation of the institution of this administrative proceeding, the Respondent has submitted an Offer of Settlement ("Offer"), which the Commission has determined to accept. Solely for the purposes of this proceeding and any other proceeding brought by or on behalf of the Commission, or in which the Commission is a party, and without admitting or denying the Commission's findings contained herein, except that he admits the jurisdiction of the Commission over him and over the subject matter of this proceeding and the findings contained in Sections III.A and III.B below, Respondent by his Offer consents to the issuance of this Order Instituting Public Administrative Proceedings Pursuant to Section 15(b) of the Securities Exchange Act of 1934 and Section 203(f) of the Investment Advisers Act of 1940, Making Findings and Imposing Remedial Sanctions ("Order"), the entry of the findings and the imposition of the remedial sanctions set forth below.
Accordingly, IT IS ORDERED that proceedings pursuant to Section 15(b) of the Exchange Act and Section 203(f) of the Advisers Act be, and they hereby are, instituted.
III.
On the basis of this Order and the Offer of Settlement submitted by Respondent, the Commission finds that:
A. At all relevant times, Michael Ploshnick was a registered representative associated with a registered broker-dealer, Meyers Pollock Robbins, Inc.
B. At all relevant times, Michael Ploshnick was a person associated with a registered investment adviser, Meyers Pollock Robbins, Inc.
C. On March 25, 1997, the Commission filed a Complaint against Michael Ploshnick in Securities and Exchange Commission v. David I. Namer, et al., S.D.N.Y, Civil Action No. 97 Civ. 2085 ("SEC v. Namer"). On April 10, 2002, without admitting or denying any of the allegations contained in the Commission's complaint, except as to jurisdiction, which he admitted, Michael Ploshnick consented to the entry of a Final Judgment against him. On September 13, 2002, the United States District Court for the Southern District of New York entered a Final Judgment, which, among other things, permanently enjoins Michael Ploshnick from violating Sections 5(a) and 5(c) and 17(a) of the Securities Act of 1933, Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder and orders him to pay disgorgement in the amount of $1,975,000.
D. The Commission's complaint in SEC v. Namer alleges, among other things, that Michael Ploshnick, while serving as president of the now defunct firm Meyers Pollock Robbins, Inc., participated in a fraudulent offer and sale of millions of dollars in worthless unregistered securities.
IV.
Based on the foregoing, the Commission deems it appropriate and in the public interest to bar Respondent from association with any broker or dealer pursuant to Section 15(b)(6) of the Exchange Act and from association with any investment adviser pursuant to Section 203(f) of the Advisers Act, as specified by Respondent in his Offer.
Accordingly, IT IS ORDERED that pursuant to Section 15(b)(6) of the Exchange Act and Section 203(f) of the Advisers Act, Respondent be, and hereby is, barred from association with any broker or dealer or with any investment adviser.
By the Commission.
Jonathan G. Katz
Secretary