Andrew L. Pope

LITIGATION RELEASE NO. 17637 / July 30, 2002

SECURITIES AND EXCHANGE COMMISSION v. ANDREW L. POPE

No. CV S-02-1014 RLH (RJJ) (USDC D. Nevada).

The Securities and Exchange Commission ("Commission") filed an injunctive action on July 30, 2002 against Andrew L. Pope ("Pope"). The Commission's complaint alleges that between that between February 8 and May 12, 2000, Pope, a convicted felon, engaged in a fraudulent scheme to promote the stock of six "microcap" companies through the dissemination of a large number of unsolicited "spam" e-mails. According to the complaint, the e-mails contained false and misleading statements concerning, among other things, Pope's trading intentions, compensation, and success "track record" with respect to the stocks he was promoting via e-mail. In addition, the e-mails contained false and misleading stock price projections with respect to the microcap issuers, and misrepresented their financial condition. According to the complaint, after disseminating the spam e-mails and fraudulently generating investor interest in the microcap issuers, Pope sold stock of all six of the issuers into the resulting inflated markets, thereby realizing profits of approximately $669,000.

The Commission's complaint alleges that Pope's scheme violated the registration and antifraud provisions of the federal securities law set forth in Sections 5(a), 5(c) and 17(b) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. The Commission seeks a permanent injunction, disgorgement, and civil penalties.

For tips on how to avoid Internet "pump-and-dump" stock manipulation schemes, visit http://www.sec.gov/investor/online/pump.htm. For more information about Internet fraud, visit http://www.sec.gov/investor/pubs/cyberfraud.htm. To report suspicious activity involving possible Internet fraud, visit http://www.sec.gov/complaint.shtml.

	SEC Complaint No. 1 in this matter.
	SEC Complaint No. 2 in this matter.