Securities and Exchange Commission v. Standford International Bank, Ltd. et al

Filing 1

SECOND AMENDED ORDER APPOINTING RECEIVER. Signed by David C. Godbey, United States District Judge, July 19, 2010. (Attachments: # 1 Summary, # 2 Preliminary Injunction and Other Equitable Relief as to R. Allen Stanford, # 3 Agreed Preliminary Injunction as to Stanford International Bank, LTD, Stanford Group Company and Stanford Capital Management, LLC and Agreed Order Granting Other Equitable Relief, # 4 Preliminary Injunction and Other Equitable Relief as to James M. Davis, # 5 Agreed Preliminary Injunction as to Laura Pendergest-Holt and Agreed Order Granting Other Equitable Relief)(lw)

Download PDF
Securities and Exchange Commission v. Standford International Bank, Ltd. et al Doc. 1 Att. 5 79 Case 3:09-cv-00298-N Document Filed IN THE U]rIITEDSTATESDISTRICT CO I1OR THE NORTIIERN DISTRICT OF ITALLASDIVT$ION SECIJRITIES A}ID EXCIIANGE COMMISSION, Plehti-{r, STA}ITORIT II\ITERNATIONAL BANI{, LTD., STANT1ORIT GROUP COMPAI{Y, STANFORD CAETTAL MANAGEMENT, LLC, R ALLEN STAITFORIT,JAMES IU. IIAVIS, and LAURA PENDERGEST-HOLT Dofondants. $ $ $ $ $ $ $ $ $ $ $ $ $ Case No.: 3;09-w-0298-N AGREEITPRELIMINARY INJTINCTIONAS TO I.AIJRA EENITERGEST-HOLT, ANI' AGREEITORI}ER GRANTING OTHER EOUTIABLEXELIEE r) This mattercamebeforeme, tho uude,rsiped UnitodStates District JudEE, thidaay tt I t /V1U4l of and ,20O9,on the ap'plioation Plaintiff Secruities hchenge cobflission for issuanccof a preliminary injunction againstDefendantLxrrfl Pcrdergect-Holt, and an orddr for otherrequitable relicf ageinst Dcfendent Pendcrgest-Holt. Thia Court has prcviously itsued a temporaryrtstraining o'rder,odc,r froezing asscts,order requiring m acoounting ordor requiring plesefwtion of documents,ordcr authodeingexpediteddiscovf,y, and onler appointing receivs. Defendant Perdergeet-Holthas agreedt0 tlre uFy of this furced preliminary Irjurction efld fut'ood Orda Grantiug OthcdF4uit{blo Relicf ('?rcliminery Injunction ), without admitting or demying allegationscontainedin tho commissionk complaint; hns agreedttnt this cowt has the jurisdiction over her and subjectmatter of this actioq ard hes agrcedto waive a hoaring and the e,ntryof findings of fact and conclrrsions larp. of ffTi::I fl'JH',:"JT"TE 79 Case 3:09-cv-00298-N Document F i l ed03/0?2009 Page? of 9 IT IS HEREBY ORDERED tbet Defendmt Perdcrgest-Holt and her agents' servanla' employecs,attomEts, and all othrr porsons in active ooncort ot participttion with thcm who receivo nctual noticc of this Proliminary Injunction by perronal servics or othorwisc rre restrainedand enjoinod ftom violating $ection l7(a) of the SecudtioeAct [15 U,S.C. $ 77q(a[, directly or indirectly in thc offer or sale of any security by the urc of any mcans or iutrumcntd of tnnsporbtiorr ot communicationin intershte conmorce or by the wc of ftromails, b}t (l) (Z\ erploying y dwice, eohoe, or utifim to dcftaud;or obtaining rnoney or propertyby meaneof any r.urtrue stalmerfiof nrdnsl fact or ury omitsion to stats a maferial fact nece$sary oder to make the statcrndnt(s) in maft, h thc light of the circumstsnces rmderwhich thcy warc madg not mieleading OI t3) ergsging in afly Eaffiaotisr, practicr, or oortrreof businoes which opeatesor would opfrste asa fitlrd or dccrit upon the purchaser, fi. IT IS HERISY ORDERED that Defendail Pcrndogest-Holtard hr sgcrrts-srvflits, e.trployeos,uttomsye, gnd all othc'r prrsona in aotive consert or partioipatio,nwith the'm who rweive actual noticc of this Prgliminflry Injunction by personal e61viCeo'r othErq,ide ere restrained aud arjoincd from violating Section l0(b) of the EychareB Act or RuIe l0F5 [15 U.S.C. $ 78j(b) dd 17 C.F-R-$ 2,10,10b-5J, directly or indirectly, in cormoctionwith thc puffhast u mle of any sccruity,by making ue OfAnymeansor instrEnentdliv of intfstfftecommerrcer of or the ruaiJs, of anyfrcility of anynationalsccruitiosorclrrrgc: or (1) to uro or ornployauy manipuletiw or deceptivedevioeor cmtrivanoe in conheventionofth6 nrlos and regulationspromulgatedby the Commiesion; SECv- Srr.nfmdIntenatiaaal Butk Ltd.. et al. Agmcd Proliminary Injqnotirm ud Order GBntftg Othq RGlitf Case3:0$cv-00298-N Documenl79 Filed03/0?2009 Page3 of I (2) to ernployany device,mhqno, or a ificE to dcftrud; to rudlofry inffittlffifu tftr*min-' apini*P EElt sfrdtdidtffirccf (3) unda whic,hthe,ywcrc ede,mt mitleeditrg;or (4) or or ofbusilese whlch o'ptrafc$ would opcttate to aUage in arryflct, pra.cticc, oourse aea frflud or deooitrpon atryp(reofl. IT IS HERBBY ORDEB,EDtlnt Dofndatrt Pmdtrgest-Holt and hu agents,srnruttg, !trlployeesattiomeyE, , and all other personsin active concert or psrticipstiffi with thcm who rcceivo actual notice of thit koliminary Injunction by permml serrrice or otherwire uc rcstained and earjoined from violating Smtio,nr206(l) ald 206(2) of the Adr'i$rfs Act [5 U,S,C. $$ 80b4(l), (2)1, dirtctty 61 intli&ctly, by ute of tho mails o'r atry f,eant or in+trmrmtality of intorstatecornmerco, by (l) eflryloylrlg ffiy devicg Eclreme, artifice to defrard any clirnt or prospcctivs or clienfi or (2) cngaging in any traruaotion, prnctioe, or counreof busire$ which operateeas a fraud or deceit upon any client or poepoctive cliurt. ff. IT IS HER.EBY ORDERED rhir DefmdantPenderge$-Hoh and hnr agFnt8,servants, ernployoeq afiomerys,and gll othetrpemmx in activc ooncut or perticipation r"ith thrrrn who receive actual notice of this Fretiminarv Injunction by pereonal$tryice or otherurife are hersy rcstrained snd atjoifled ftom, dircctly or inctircctly,makifig EnypalEffit or oryDdituft of fihds belongingto or in the possessior, custody,or control ofDefendrrt Pcndcrgcst-Holt, eff-ectirrg or any tale, gift, hlpothEcfltioq or othc dirpositim of uy esset belongingto or in the pome*ion, custody, SECv. Stu{onl Int{,/national Ban\ Lttl., el al. Agrccd Prelimiuy lrt'unction sfirf ftdcr Grarting Otu Rdlidf Case3:0Scv-0029&N Document 79 F i l ed03/022009 Page4 of I or oontol of Defrndant Prrdeqge$t-Holt,peoding a sbowitrg io this Court that Defentlgnt Pef,drgcst-Holt hss sufficiffirt fimds sr assetsto safisf all claims adsing out of tlre violatrone alleged in the Commiesio'n's Complaint tr the posting of a bond or $rty sufficicnt to assurc paymentof anysuohclaim. v. IT IS HEREBY ORDERED that sll bar*s, savingeand loan associations, savingl bfl$ks, trust cornpsnies, socurities broken-dealen,oommoditics dealas, investmrnt companies,othet financial ot depoeitoryinetitutio$, grd investnont oo'rnpuies that hold one or morre accountsrn thc name,on belmlfor for the benefit ofDefrndaf,t PetrdrrgestsHolt who ftceive actgl notica of this Prcliminary lnjunction by pelaonal sdf,viceor otheffiriseare heroby restreinedand cnjoined, in rcgatd to any such accoun! fiom mgagirrg in any trmsactiur in securities(rxcept liquidating traruactionsnooostttryto comply with a court order) or ury disburscmontof firndr or securitiee pending fifilte.r order of thie Court. VI. m trSI#REDY ORDERED an orha individuals, rhar mrporntions, parutrships,rimited liability compatrioe, other artificial entitieswho receiveactualnotiooof thir h,oliminary and Injunctionby pasonal servicof othenvi* areheroby resaained cnjoinodfrom didbursing and any firnds' sccuritieq or other propcrty obtainedfrom Deftndant pendagest-Holtwithout adequatoonsideration. e IT Is ITEREBY 0RDERED that DefendantpeidcrgesrHolt is horeby requircd to make an intuim accounting under oeth, within trn da;n of the issuece of thie ordrr: (l) der.dilingall moniet and other benefits which she reccived, dirwtly or indire+tly, as a rtsult of the activities $EC v. Star{ord Inbmrttondl Eg,',k, Ltu|., Et dl. Agrcd ftcltuiHry Irjunction md Ordar ftanting Othff Rclief 79 Case3;09-cv-0029&N Docrument F i l ed03t/0?2009 Page5 of I allcgedin tlre Complaint (inchrding datcon whichthc moniesor othcrbenofit\p6B the received andthe name,addrws,ard telephone of nrrmber thepuson payingthe monoyor provirtingthe benefit);(2) listing all curtantadseh they whercver theymay bo locatedand by Whomovm sre bcing held (includingthe nameand adrlress the holdrr Efld the af,ount or valuc of the of holdings)laild (3) listing all arcormts with any financialor brokerage institutionmainteined in tho nsmoof, m behalfof, or for tho brnefit of, Defendent Penderged-Ilolt (includingthe rramo andaddress theaccount of holdcrandthe aEcowtnutrtrer)andthe aarount hcld in sac.h accormt at anypointduringtheporiodfium January 2000through dateofthc accormting. l, tho uII. IT IS HEREBY ORDERED that Dofnrdeht Pcndergest-Holtand hcr qgr,rts, sef,vatrts, ernploycrr, etiomoys, and ell other persons in active conoort or puticipation with thern, irrcluding any bank, sccuritieo brokrr-r1ealer,or any financial or dcpositery irsutuhorr, who rcooivet actual notice of this Preliminary Injunotion by personrl tervice or othr'rn isc are hereby restrainedand enjoined fi,om destoying, rcmoving; mutileting altering concealing or disposing o[' in any mannm,any books arrdrocordsowned by or pertaining to, the finaroial nansactions and arrets ofDefcndante or any entitiosundertheir oorrftol, H, tr IS HEREBY ORDERID that thc co*srission is authorizcd to eorvoproocssoq and give uotice of theeepruceedingeand the relief grantodherein to, Defendantsby u.s. Mail, email, facsimilg or any othcr meansauthorizedby the Federd Rulee of civil procedrue. X. IT IS HERBBY ORDERED thrt expediteddisooverymay take plaoe consistentwith tlrc followinc: SF.Cv. Stanford Intmratiowl Banh Ltd., et al. AErEertPrclimin y Injrmction md Onlcr Grantiq Oft6r Rdief, Case3:09-cv-00298-N DocumentT9 Filed 0310212009 Page 6 of I (1) eny paay may notice and conduct depositions lpon orel eftflnination flnd flray requcst md obtain ptoductim of documonlsor other thingr frr inspoction and copyiug ftom partiar prior to the oeiration of thirty dep after sffioe of a Eurnmons tho PlehtitrCoffinission't hrd Complaint upof, llefEndant$i (2) all perties shall comply wilh the provisions of Fed. R. Civ. P. 45 regarding issuance and Eervice of eubpoenas,unlces the pqsotr dqignstedto provide tstimony or to producedocumontsend thingt agrtte to providc the te$imony m or to prutucc the documctrteor thinge lrithout tlre issuarre ofa euhpoenil to do so at a place othr than ofl6 at which tsstimotryor produotioncur bo compelled; (3) any puty may notioe a d conduct depositiou upon oral oxamination subjeotto minimum notice of ssvelrty-two(72) houre; (4) all purtios shall pmduco for intpcctio,nand co'pyingeil docurnarts and thinge thrt fie requstsdwithin seventy-two (72) hourf of wrvice of o lvdttcn roqucst for tlose documeots afid things; ffid (5) all pnrtiet r"hall sorve ruittfl responfer to u'rjttdd iDt,fiogalorios within swentytwo (72) houmaftcr serviooof the intarrogatodcs. )il. IT IS IIEREBY ORDERED that alt partier shall serveflritten rcspongcs flty othcr to party's requestfor disoovsryand the intsim accountings be providedby Defendants to by deliveryto thoPlaintiffCorrmimionaddroar follows: as I]MTED STATESSECIJRITIES A}ID EXCIIANGECOMMSSION FortWorthRcgional Office AttentiorrDavidReece : BurflettPleza" SuiteI900 8 0 1Cheffy Unit Stooet, #18 Fort Wor$, TX 761D2-6882 SECv- Sunf,ord IniEnaftfial Bdf,k Ltd., et dL AgId Preli inrry Injrtrtion md Qrdcr Gfsnting Othrr Rclief 79 Case3:09-cv-0029&N Document F i l ed03/02/2009 PageT ofB (S149784927 Faodmilc: by 68 and by dctivory to othcr partit* at such addro66(es) may bc dcsigtrEted thun in writing' Such itelivcry shall be marlo by the most cxpeditioue mcans availablo, irrcluding e-rreil and facsiurils. xtr. thall BuffEilrhErpfi5sport8 that IT XS HERBBYORDERED Dofftdsnt Pendrgeet-Hoh until firltheroldsr of this Court. tlre End b0fiedftdm havclingouteide UnitodStetes iB xflL servdrts, urd IT IS HEREBY ORDEREDthsl DofefldtntPcndergest-Holt hor agents, or bf,trks, all otfur peruouin activoooncort participatso[ urd cruployees, attomqn,depo*itoriofi, ico with them wbo reeivc Bctualloticc of this Pretiminsrylujmction by pcmonalsEf,f dt rhall: otherwiae (1) t'o to takc euchstoFB ue ncAdary nEFatriale t}c taritory of the UnitBdStatcs as in Compleint this in all ft$ds md assets inveilorr de*cribed the Cororuissionrs of conhol'jofittly thsir dirett or iDdirce't whicharehcld by them,or arcundd,t actiorn such-frrds ifltd thc Rcgidty of the Uuited StstcsDibtrict or $ingly,a$d dpodit and Court" Northun Disaict of Tcfrds; (2) pruvido the Commiesion the Corut n \ryrittsl doscription the fimde and of and es6eB repflhiatd. so :uv. Defrnden* Pendetgest-Holt havosixty (60) daysfi,omthe dateof ttdePrdiminary ehall the Compleint. Injunctionil whichto answf, Coftmission's Ld,, dd, [ECr. Stanlord [rtffinw;daflql EarrlIE Agrecd Fr;lirsiilry ltrjuactionrnd Ordt hing Oftor Rrlicf -- 79 Case3:09-cv-00298-N Documont Filed03/02/2009 PageI of S EXECuTED AND ENTERED fJilottwk tt m/pm CST ttrisZdsy or 9EC v. Stznford htenatbnal Eanft,I&I, et aIA8rccd Prclfuriury Injunction ard Ordrr Granting Othtr RUd Case3:09-cv-00298-N Documsnt79 F i l ed03/0fl2009 PageI of I to Agroed Fotm: s/ndd,E-,Ecrcg DavidB. Reece qnd Cornmission Securities Exchange Sheet,lgn Floor E01Cherrry 76102 Fort Worth,Toxas (817)9?8-6476 (817)9784927 fatt reeced@ec.sov Counsel for Plaintiff Seadties and hrhaage Commission {Brcafi.E*cr Brent R. Bakerr Bohle & I.alimer Parsons ?01 South Maif, Stcct S d t e 1800 S f l l t I f k e Ciry,Utah 84111 ( 8 0 1 )532-1234 ( 8 0 1 )536-61 l/ax I BBskeflApsrsonebchlc.oom Counsefor DefendantLawa Pendergest-Hok l SECV.Stsnford ank LtI,|. Agrocd Pretimfuury Injunctiod srd Ordr Crarttirg Otha Relief

Disclaimer: Justia Dockets & Filings provides public litigation records from the federal appellate and district courts. These filings and docket sheets should not be considered findings of fact or liability, nor do they necessarily reflect the view of Justia.

Why Is My Information Online?