U.S. SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 19621 / March 22, 2006
SEC v. Michael Morrell, et al., Case No. 04-80664-CIV-MARRA (S.D. Fla.)
SEC Settles With Michael Morrell and John Haines, Former Officers of Cybercare, Inc., and Paul Bornstein, a Former Outside Analyst
The Securities and Exchange Commission announced that on March 16, 2006, the United States District Court for the Southern District of Florida entered final judgments of permanent injunctions against Michael Morrell, John Haines, and Paul Bornstein. Morrell and Haines consented to the entry of an injunction against future violations of Section 17(a) of the Securities Act of 1933, Sections 10(b) and 13(a) of the Securities Exchange Act of 1934 and Rules 10b-5, 12b-20, and 13a-1 thereunder. In addition, the final judgments order Morrell to pay a $110,000 civil penalty, Haines to pay a $55,000 civil penalty, and bars Morrell from acting as an officer or director. Haines' final judgment prohibits him from acting as an officer or director for five years. Bornstein consented to the entry of an injunction against future violations of Sections 17(a) and 17(b) of the Securities Act and Section 10(b) of the Exchange Act and Rule 10b-5 thereunder. In addition, Bornstein must pay a $55,000 civil penalty.
For further information, see Litigation Release No. 18786 (July 20, 2004)