U.S. Securities & Exchange Commission
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U.S. Securities and Exchange Commission

United States of America
before the
Securities and Exchange Commission

Securities Exchange Act of 1934
Release No. 47655 / April 10, 2003

Administrative Proceeding
File No. 3-11067

In the Matter of

John Abresch




The Securities and Exchange Commission ("Commission") deems it appropriate and in the public interest to accept the Offer of Settlement ("Offer") submitted by John Abresch ("Abresch" or "Respondent") pursuant to Rule 240(a) of the Rules of Practice of the Commission, 17 C.F.R. § 201.240(a), for the purpose of settlement of this public administrative proceeding instituted against him by the Commission on March 18, 2003 pursuant to Section 15(b) of the Securities Exchange Act of 1934 ("Exchange Act").


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 herein, except as to the Commission's jurisdiction over him and over the subject matter of these proceedings, and the findings contained in Paragraph III.3. below, which are admitted, Respondent consents to the entry by the Commission of this Order.


On the basis of this Order and Respondent's Offer, the Commission finds that:

1. During all relevant times, Respondent Abresch was associated with Discovery Capital Group, Inc. ("Discovery Capital), a registered broker-dealer, as its vice president of sales.

2. On March 14, 2002, the Commission filed a Complaint seeking a permanent injunction, disgorgement and prejudgment interest thereon, and imposition of a civil money penalty against Respondent Abresch and others. Securities and Exchange Commission v. Discovery Capital, Inc., et al., Case No. 02-60363-Civ-Huck (S.D. Fla.). In its Complaint, the Commission alleged that Respondent, while associated with Discovery Capital, made material misrepresentations and omissions in connection with the offer and sale of securities issued by Discovery Capital in the form of preferred stock and promissory notes, in violation of the antifraud provisions of the federal securities laws.

3. On October 24, 2002, by Respondent's consent and without admitting or denying the allegations of the Commission's Complaint, the United States District Court for the Southern District of Florida entered a judgment of permanent injunction and other relief, enjoining Respondent Abresch from future violations of Section 17(a) of the Securities Act of 1933, Section 10(b) of the Exchange Act, and Rule 10b-5 thereunder.


In view of the foregoing, the Commission deems it appropriate and in the public interest to accept Respondent's Offer and impose the sanction specified therein.

Accordingly, IT IS ORDERED that:

Pursuant to Section 15(b)(6) of the Exchange Act, that Respondent Abresch be, and hereby is barred from association with any broker or dealer.

For the Commission, by its Secretary, pursuant to delegated authority.

Jonathan G. Katz



Modified: 04/10/2003