Securities and Exchange Commission v. Newpoint Financial Services Inc et al

Filing 323

ORDER DENYING IN PART AND GRANTING IN PART DEFENDANT FARAHIS AND RELIEF DEFENDANT QUIFFS MOTIONS TO VACATE OR MODIFY ASSET FREEZE ORDER 295 , 296 by Judge Dean D. Pregerson : The court therefore declines to vacate its January 18, 2012 Order reinsta ting the freeze of Quiffs assets and all amounts withdrawn or otherwise disbursed from the relevant Quiff account since April 27, 2010. The court finds it unnecessary, however, to require anaccounting from Quiff, Farahi, or Farahis counsel. As the recordreflects, requiring such an accounting raises concerns with regardto Farahis related criminal proceedings. The March 17, 2010 Temporary Restraining Order Freezing Assets shall remain in effect. (lc)

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UNITED STATES DISTRICT COURT

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CENTRAL DISTRICT OF CALIFORNIA

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SECURITIES AND EXCHANGE
COMMISSION,

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Plaintiff,
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v.
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NEWPOINT FINANCIAL SERVICES,
INC.; JOHN FARAHI; GISSOU
RASTEGAR FARAHI; and ELAHEH
AMOUEI,
Defendants.
___________________________

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Case No. CV 10-00124 DDP (JEMx)
ORDER DENYING IN PART AND
GRANTING IN PART DEFENDANT
FARAHI’S AND RELIEF DEFENDANT
QUIFF’S MOTIONS TO VACATE OR
MODIFY ASSET FREEZE ORDER
[Docket Nos. 295, 296]

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Presently before the Court are Defendant John Farahi’s and

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Relief Defendant Quiff Investments, Ltd.’s respective Motions to

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vacate or modify the court’s January 18, 2012 Order Reinstating

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Asset Freeze and Requiring Accounting.

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parties’ moving papers and heard oral argument, the court denies

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the Motions in part, grants the Motions in part, and adopts the

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following Order.

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Having reviewed the

The parties have briefed and argued this matter in substantial

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detail.

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Commission has raised serious issues as to Defendant John Farahi’s

As the record reflects, Plaintiff Securities and Exchange

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connection to and possible control over Relief Defendant Quiff

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Investments, Ltd. (“Quiff”) and its assets.

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declines to vacate its January 18, 2012 Order reinstating the

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freeze of Quiff’s assets and all amounts withdrawn or otherwise

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disbursed from the relevant Quiff account since April 27, 2010.

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The court finds it unnecessary, however, to require an

The court therefore

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accounting from Quiff, Farahi, or Farahi’s counsel.

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reflects, requiring such an accounting raises concerns with regard

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to Farahi’s related criminal proceedings.

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As the record

The March 17, 2010 Temporary Restraining Order Freezing Assets
shall remain in effect.

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IT IS SO ORDERED.

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Dated: April 5, 2012
DEAN D. PREGERSON
United States District Judge

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