Litigation Release No. 19959 / January 4, 2007

SEC v. U.S. Wind Farming, Inc., et al., Case No. 05 C 4259 (N.D. Ill., filed July 25, 2005)

On December 22, 2006, the Honorable Milton I. Shadur of the United States District Court for the Northern District of Illinois, Eastern Division, entered orders of Final Judgment, by default, against Defendant Raymond J. McNamee and entities he controlled: Defendants Mad World Capital Group, LLC, Templar Financial, LLC, and Time Limit Capital, LLC. The Commission's First Amended Complaint alleged that McNamee engaged in a hype and dump scheme to evade the registration and antifraud provisions of the federal securities laws. McNamee helped create U.S. Wind Farming, Inc., and obtained millions of shares of its stock, through the entities he controlled, in an unregistered offering. McNamee then sold shares into the public market, without registering the transactions, while creating artificial demand for U.S. Wind Farming's stock through the issuance of false and misleading press releases and false and misleading statements posted on U.S. Wind Farming's website.

The Final Judgments permanently enjoin McNamee from violating 17(a) of the Securities Act of 1933, Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. The Final Judgments also permanently enjoin McNamee, Mad World Capital Group, Templar Financial, and Time Limit Capital from violating Sections 5(a) and 5(c) of the Securities Act and bar all of them from participating in penny stock offerings. In addition, the Court ordered that McNamee is jointly and severally liable with Mad World Capital Group, Templar Financial, and Time Limit Capital for disgorgement plus prejudgment interest totaling $482,112.52 and for a civil penalty of $500,000.

For further information, see Litigation Release No. 19311 (July 26, 2005), No. 19546 (January 30, 2006), No. 19802 (August 11, 2006), and No. 19886 (October 25, 2006).