Securities and Exchange Commission v. Vassallo et al

Filing 407

ORDER signed by Senior Judge Lawrence K. Karlton on 4/13/11 directing banks and/or financial institutions to produce documents concerning EIMT funds transferred to Ban Europa. (Manzer, C)

1 FUTTERMAN DUPREE DODD CROLEY MAIER LLP
JAMIE L. DUPREE (158105)
2 JAIME G. TOUCHSTONE (233187)
180 Sansome Street, 17th Floor
3 San Francisco, CA 94104
Telephone: [phone]
4 Facsimile: [phone]
[e-mail]
5 [e-mail]
6 Attorneys for Receiver
Stephen E. Anderson
7
8

UNITED STATES DISTRICT COURT

9

EASTERN DISTRICT OF CALIFORNIA

10

SACRAMENTO

11 SECURITIES AND EXCHANGE
COMMISSION,
12
Plaintiff
13
v.
14
ANTHONY VASSALLO, et al,
15
Defendants.
16

Case No. CV 09-000665 LKK-DAD
ORDER DIRECTING BANKS AND/OR
FINANCIAL INSTITUTIONS TO
PRODUCE DOCUMENTS
CONCERNING EIMT FUNDS
TRANSFERRED TO BAN EUROPA
Judge Lawrence K. Karlton

17
18

On April 30, 2009, this Court filed the Order Appointing Temporary Receiver for Equity

19 Investment Management and Trading, Inc. (“EIMT”) and Order to Show Cause for Appointment
20 of Permanent Receiver (“OAR”) and on July 31, 2009, the Court filed an Order permanently
21 appointing Receiver. Pursuant to the OAR, for good cause shown, and in order to empower and
22 authorize the Receiver to carry out his duties and obligations,
23

THE COURT HEREBY FINDS AND ORDERS AS FOLLOWS:

24

On October 7, 2008, defendant Anthony Vassallo transferred $195,000 of investor funds

25 from Veritas Investment LLC’s U.S. Bank Account Number XXXXXXXX2642 (“Veritas
26 Account”) to Commerce Bank (now TD Bank) Account Number XXXXXX3742, an account
27 which is held in the name of Ban Europa (“Ban Europa Account”). The $195,000 was wired to
28 Ban Europa in connection with a certificate of deposit “investment” facilitated by a company
FUTTERMAN DUPREE
1
DODD CROLEY
MAIER LLP

[PROPOSED] ORDER DIRECTING BANKS AND/OR FINANCIAL INSTITUTIONS TO PRODUCE DOCS. RE BAN EUROPA
CASE NO. CV 09-000665 LKK-DAD

1 called NCT Trading, LTD (“NCT Trading”) and its Chairman Edwin Westlake. Receiver
2 located a signed “Program Trade Agreement” entered into between Vassallo and NCT Trading,
3 but has been unable to discern any legitimate business reason for the transaction which did not
4 financially benefit the EIMT investors.
5

To facilitate Receiver’s investigation in tracing the disposition of EIMT investor funds,

6 any and all banks and/or financial institutions, including, but not limited to Commerce Bank
7 and/or TD Bank, are direct to provide information and documentation to Receiver tracing where
8 the $195,000 withdrawn from the Veritas Account on October 7, 2008, went, including after its
9 deposit into the Ban Europa Account at Commerce Bank/TD Bank, including, but not limited to
10 all bank statements and other documentation reflecting receipts by, disbursements from, and
11 transfers to/from such account(s), account number(s) and account holder identification.
12

Any and all banks and/or financial institutions, including, but not limited to Commerce

13 Bank and/or TD Bank are hereby further directed to cooperate fully with Receiver in his
14 investigation and inquiries on behalf of this Court.
15

IT IS SO ORDERED.

16
17 Dated: April 13, 2011
18
19
20
21
22
23
24
25
26
27
28
FUTTERMAN DUPREE
DODD CROLEY
MAIER LLP

2
[PROPOSED] ORDER DIRECTING BANKS AND/OR FINANCIAL INSTITUTIONS TO PRODUCE DOCS. RE BAN EUROPA
CASE NO. CV 09-000665 LKK-DAD