Securities Exchange Act of 1934
Release No. 47976 / June 4, 2003
Administrative Proceeding
File No. 3-11147
In the Matter of EDWARD GURIN Respondent. |
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ORDER INSTITUTING ADMINISTRATIVE PROCEEDINGS, MAKING FINDINGS, AND IMPOSING REMEDIAL SANCTIONS PURSUANT TO SECTION 15(b) OF THE SECURITIES EXCHANGE ACT OF 1934 |
I.
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) of the Securities Exchange Act of 1934 ("Exchange Act") against Edward Gurin ("Respondent").
II.
In anticipation of the institution of these proceedings, Respondent has submitted an Offer of Settlement (the "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 herein, except as to the Commission's jurisdiction over him and the subject matter of these proceedings, and the findings contained in Section III.2 and III.4 below, which are admitted, Respondent consents to the entry of this Order Instituting Administrative Proceedings, Making Findings, and Imposing Remedial Sanctions Pursuant to Section 15(b) of the Securities Exchange Act of 1934 ("Order"), as set forth below.
III.
On the basis of this Order and Respondent's Offer, the Commission finds that:
1. Gurin was the president and the general securities principal of The Thermopylae Group, a now defunct broker-dealer that was registered with the Commission from December 1999 through June 2000. From September 1997 through April 2000, Gurin was associated with other broker-dealers registered with the Commission, including Laconia Capital Corporation, Hamershlag, Kempner & Co., L.P., First Security Investments, Inc., Robert Thomas Securities Inc., and CIBC Oppenheimer Corp. Gurin, 28 years old, is a resident of New York, New York.
2. On May 16, 2003, a final judgment was entered by consent against Gurin, permanently enjoining him from future violations of Section 17(a) of the Securities Act of 1933 ("Securities Act"), Section 10(b) of the Exchange Act and Rule 10b-5 thereunder in the civil action entitled Securities and Exchange Commission v. Edward Gurin et. al, Civil Action Number 01 Civ. 1649 (WK), in the United States District Court for the Southern District of New York.
3. The Commission's complaint alleged that Gurin defrauded investors by soliciting them to buy unregistered and, at times, non-existent securities of private companies by making materially false statements and omissions of material facts. The complaint also alleged that Gurin made an offering of unregistered stock.
4. On April 27, 2001, Gurin pled guilty to one count of conspiracy to commit mail, wire, and securities fraud in violation of Title 15 United States Code, Sections 77q(a) and 77x; and Title 18, United States Code, Sections 1341 and 1343 before the United States District Court for the Southern District of New York, in United States v. Joshua Gurin, et al, Crim. Indictment No. 01 Cr 144 (JSR). On October 29, 2001, a judgment in the criminal case was entered against Gurin. He was sentenced to a prison term of 38 months followed by three years of supervised release and ordered to make restitution in the amount of $1,868,910.
5. The count of the criminal indictment to which Gurin pled guilty alleged, inter alia, that Gurin and other defendants conspired to defraud investors and obtain money and property by means of materially false statements and omissions of material facts, and that he used the United States mails to solicit investors and make misrepresentations regarding the fraudulent stock schemes, and that he transmitted and caused to be transmitted by means of wire communication instructions to investors relating to the fraudulent stock schemes.
IV.
In view of the foregoing, the Commission deems it appropriate and in the public interest to impose the sanctions specified in Respondent Gurin's Offer.
ACCORDINGLY, IT IS HEREBY ORDERED:
Pursuant to Section 15(b)(6) of the Exchange Act, Respondent Gurin be, and hereby is, barred from association with any broker or dealer.
By the Commission:
Jonathan G. Katz
Secretary