SEC.gov | Kirk S. Wright, International Management Associates, LLC; International Management Associates Advisory Group, LLC; International Management Associates Platinum Group, LLC; International Management Associates Emerald Fund, LLC; International Management Associates Taurus Fund, LLC; International Management Associates Growth & Income Fund, LLC; International Management Associates Sunset Fund, LLC; Platinum II Fund, LP; and Emerald II Fund, LP

U.S. SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 19999 / February 12, 2007

Securities and Exchange Commission v. Kirk S. Wright, International Management Associates, LLC; International Management Associates Advisory Group, LLC; International Management Associates Platinum Group, LLC; International Management Associates Emerald Fund, LLC; International Management Associates Taurus Fund, LLC; International Management Associates Growth & Income Fund, LLC; International Management Associates Sunset Fund, LLC; Platinum II Fund, LP; and Emerald II Fund, LP, Civil Action No. 1:06-CV-0438 (NDGA)

The Securities and Exchange Commission (Commission) announced that on February 9, 2007, the Honorable Charles A. Pannell, Jr., United States District Judge for the Northern District of Georgia, entered a default judgment as to defendant Kirk S. Wright (Wright) restraining and enjoining him from future violations of Sections 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and from future violations or aiding and abetting violations of Sections 206(1) and 206(2) of the Investment Advisers Act of 1940. The Court also ordered disgorgement against Wright in the amount of $17,019,510 with prejudgment interest in the amount of $2,786,399, and imposed a civil penalty of $120,000.

The Commission's Complaint, filed on February 27, 2006, alleged that from February 1997 to the present, approximately $115 million, and as much as $185 million, was raised from up to 500 investors through a fraudulent scheme involving the sale of investments in seven hedge funds by Wright and investment advisers controlled by him. International Management Associates, LLC and International Management Associates Advisory Group, LLC, through Wright, have been providing investors with quarterly statements that misrepresented both the amount of assets in the respective funds and the rates of return obtained by them. In fact, by 2005, the assets of the funds had been largely dissipated, and this fact was not disclosed to the investors of the funds. The Complaint further alleged that Wright produced for certain investors account statements purportedly from a securities broker-dealer which showed over $155 million in securities in four accounts for August 2005. In fact, the first three accounts did not exist, and the fourth account number pertained to an account unrelated to the defendants. The Complaint also alleged that account statements and summaries which Wright displayed to an investor's representative reflecting the balances of Platinum I, Platinum II and Emerald Funds as of December 30, 2005 were fabricated and reflected assets which the funds did not possess at that time.