John Ryan Rooney
SECURITIES EXCHANGE ACT OF 1934
Release No. 49179 / February 3, 2004
Admin. Proc. File No. 3-11391
In the Matter of JOHN RYAN ROONEY, 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 John Ryan Rooney ("Rooney" or "Respondent").
II.
In anticipation of the institution of these administrative proceedings, Respondent has submitted an Offer of Settlement ("Offer") that 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 in 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 except as to the entry of the judgment set forth in paragraph III.B. 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:
A. Respondent, age 36, is a resident of New York City, New York. During the relevant time period, Respondent was registered with the National Association of Securities Dealers. He was employed as a broker and as President of Hornblower & Weeks, Inc., a broker-dealer registered with the Commission pursuant to Section 15(b) of the Exchange Act, with headquarters in New York City.
B. On January 16, 2004, a final judgment was entered by consent against Respondent John Ryan Rooney, permanently enjoining him from future violations of Sections 10(b) and 14(e) of the Exchange Act and Rules 10b-5 and 14e-3 thereunder, in the civil action entitled Securities and Exchange Commission v. Adrian A. Alexander, et al., Civil Action Number 00-CV-7290, in the United States District Court for the Southern District of New York.
C. The Commission's Complaint alleged that other defendants tipped Respondent with nonpublic information concerning Luxottica Group S.p.A.'s planned tender offer for U.S. Shoe Corporation, and that thereafter, Respondent tipped his brother with that material nonpublic information. According to the Complaint, Respondent's brother then purchased U.S. Shoe securities in advance of the March 3, 1995 announcement of the tender offer and reaped illegal trading profits of $102,950 after the tender offer was announced.
IV.
In view of the foregoing, the Commission deems it appropriate and in the public interest to impose the sanctions specified in Respondent John Ryan Rooney's Offer.
Accordingly, it is hereby ORDERED that:
Pursuant to Section 15(b)(6) of the Exchange Act, Respondent John R. Rooney be, and hereby is, barred from association with any broker or dealer with the right to reapply for association after five years to the appropriate self-regulatory organization, or if there is none, to the Commission.
Any reapplication for association by the Respondent will be subject to the applicable laws and regulations governing the reentry process, and reentry may be conditioned upon a number of factors, including, but not limited to, the satisfaction of any or all of the following: (a) any disgorgement ordered against the Respondent, whether or not the Commission has fully or partially waived payment of such disgorgement; (b) any arbitration award related to the conduct that served as the basis for the Commission order; (c) any self-regulatory organization arbitration award to a customer, whether or not related to the conduct that served as the basis for the Commission order; and (d) any restitution order by a self-regulatory organization, whether or not related to the conduct that served as the basis for the Commission order.
By the Commission.
Jonathan G. Katz
Secretary