Litigation Release No. 18245 / July 23, 2003
Securities and Exchange Commission v. The Gaming Factory, Inc., et al., Case No. 02-80331-CIV-MIDDLEBROOKS (S.D. of FL)
Final Judgment Entered Setting Amount Of Disgorgement As To Defendants The Gaming Factory, Inc., A Panamanian Corporation, The Gaming Factory, Inc., A Florida Corporation, And Richard Onorato And Civil Penalties As To Richard Onorato
The Securities and Exchange Commission (SEC) announced that on July 21, 2003, the Honorable Donald M. Middlebrooks, United States District Court Judge for the Southern District of Florida, entered a Final Judgment Setting Amount of Disgorgement as to Defendants The Gaming Factory, Inc., A Panamanian Corporation (TGF Panama), The Gaming Factory, Inc. a Florida Corporation (TGF Florida) and Richard Onorato (Onorato) and Civil Penalties as to Defendant Richard Onorato (Final Judgment). The Final Judgment against TGF Panama, TGF Florida and Onorato orders them to jointly and severally pay $1,986,750 in disgorgement, representing their gains from the conduct alleged in the Complaint and prejudgment interest in the amount of $113,352.66. The Final Judgment also orders Onorato to pay civil penalties in the amount of $120,000.
The disgorgement and civil penalties were imposed pursuant to a Final Judgment of Permanent Injunction against Onorato, by consent on July 11, 2002, which was amended on June 9, 2003, and a Final Judgment of Permanent Injunction against TGF Panama and TGF Florida, pursuant to the Court-Appointed Receiver's consent on May 27, 2003, permanently enjoining them from further violations of Sections 5(a), 5(c) and 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder.
For more information on earlier actions in this case see Litigation Release No. 17749 (September 26, 2002) and Litigation Release No. 17472 (April 16, 2002)