U.S. Funding Corporation, et al.

Litigation Release No. 17947 / January 23, 2003

Securities and Exchange Commission v. U.S. Funding Corporation, et al. CV 02-2089

SEC SEEKS CONTEMPT ORDER AGAINST FORMER PRESIDENT OF NEW JERSEY COMPANY CHARGED IN INTERNET SCAM

On October 29, 2002, the Securities and Exchange Commission sought an order of contempt against Angelica Gwinnett, the former president of U.S. Funding Corporation, a New Jersey Company that defrauded investors out of over $2 million in an internet scam. According to the Commission, Ms. Gwinnett violated an asset freeze order issued on May 2, 2002 by the United States District Court for the District of New Jersey. The Commission charges that Ms. Gwinnett diverted company assets to her own use, including an investor check that she cashed at a Jersey City check casher, and made other unauthorized payments of company funds. A contempt hearing is presently set for March 11, 2003.