Litigation Release No. 16265 / August 27, 1999

Securities and Exchange Commission v. Beachport Entertainment Corporation

Civil No. 99-CV-02291 (D.D.C.) (filed August 27, 1999).

On August 27, 1999, the Commission filed a complaint in the United States District Court for the District of Columbia against Beachport, Inc. ("Beachport"), an issuer whose securities are traded on the OTC Bulletin Board. The complaint alleges that Beachport, a company that develops and produces live family entertainment, failed to make available to the investing public current and accurate information about its financial condition and results of operations through the filing of periodic reports with the Commission as required by the Securities Exchange Act of 1934 ("Exchange Act"). Specifically, the complaint alleges that Beachport has not filed its Annual Report on Form 10-K for the fiscal year ended June 30, 1998, its Quarterly Reports on Form 10-Q for the fiscal quarters ended March 31, September 30 and December 31, 1998 and March 31, 1999. Beachport also has filed late its quarterly report for the fiscal quarter ended September 30, 1997 and has failed to file six Notifications of Late Filing for its delinquent reports. The Commission seeks to compel Beachport to file its delinquent periodic reports and enjoin Beachport from further violations of Section 13(a) of the Exchange Act of 1934 and Rules 12b-25, 13a-1 and 13a-13 thereunder.