Securities and Exchange Commission v. Kara et al

Filing 101

ORDER EESETTING CMC. Case Management Statement due by 4/27/2012. Further Case Management Conference set for 5/4/2012 10:30 AM in Courtroom 5, 17th Floor, San Francisco.. Signed by Judge Edward M. Chen on 2/1/12. (bpf, COURT STAFF) (Filed on 2/1/2012)

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MARC J. FAGEL (Cal. Bar No. 154425)
ROBERT TASHJIAN (Cal. Bar No. 191007)
[e-mail]
LLOYD FARNHAM (Cal. Bar No. 202231)
[e-mail]
Attorneys for Plaintiff
SECURITIES AND EXCHANGE COMMISSION
44 Montgomery Street, 26th Floor
San Francisco, California 94104
Telephone: [phone]
Facsimile: [phone]

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UNITED STATES DISTRICT COURT

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NORTHERN DISTRICT OF CALIFORNIA

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SAN FRANCISCO DIVISION

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SECURITIES AND EXCHANGE COMMISSION,
Plaintiff,
v.

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Case No. 09-CV-1880 EMC

MAHER F. KARA, MICHAEL F. KARA,
BASSAM Y. SALMAN, and KARIM I. BAYYOUK,

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JOINT STATUS REPORT AND
UPDATED CASE MANAGEMENT
STATEMENT ; ORDER RESETTING CMC
Further Case Management Conf.:
February 3, 2012 at 10:30 a.m.
Honorable Edward M. Chen
Courtroom 5

Defendants.

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This matter is currently set for a Further Case Management Conference on February 3,

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2012, at 10:30 a.m. The parties submit this Joint Status Report and Updated Case Management

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Statement in advance of the Conference.

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I.

STATUS REPORT

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Since the last Status Conference before this court, the Commission has reached a

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resolution with defendant Emile Jilwan, and the Court has entered a Final Judgment against

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Jilwan pursuant to the Consent Judgment submitted by the parties.
SEC v. Kara, et al.
Case No. 09-CV-1880 EMC

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JOINT STATUS REPORT

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The related criminal action against defendant Bassam Salman, U.S. v. Bassam Yacoub

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Salman, Case No. CR 11-0625 EMC, has been assigned to this Court and is on the Court’s

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calendar for a Status Conference and Trial Setting Hearing on February 8, 2012.

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The other related criminal action charges defendants Maher Kara, Michael Kara (named

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as Mounir Kara in the indictment), and Emile Jilwan, in the case titled U.S. v. Kara, et al., Case

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No. CR 09-0417 EMC. Maher Kara and Michael Kara have entered guilty pleas, but have not

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been sentenced. Maher Kara and Michael Kara are set for a Status Conference on June 20, 2012.

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In light of the guilty pleas of Maher Kara and Michael Kara, counsel for the Commission

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and these defendants are continuing to discuss potential resolution of the Commission’s claims
against them, but no agreed resolution has been reached at this time.
No trial date has been set for the civil action, and dates regarding discovery deadlines and
pretrial dates have been previously vacated.

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II.

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The parties provide the following information, updating the Case Management Statement

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UPDATED CASE MANAGEMENT STATEMENT

previously submitted in this matter:

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There are four defendants remaining in this civil enforcement action brought by the

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Commission: Maher Kara, Michael Kara, Bassam Salman, and Karim Bayyouk. All these

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defendants have been served and have appeared in the case.

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Before discovery was stayed, the parties had begun discovery, including conducting

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depositions. The Commission produced documents obtained during its investigation pursuant to

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Rule 26 initial disclosure obligations and document requests, and the defendants have made Rule

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26 initial disclosures and responded to document requests served by the Commission.

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The facts of the case, the legal issues, and the relief sought by the Commission have not

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changed since the case was filed and the parties submitted the original Case Management

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Statement. The parties do not anticipate any amendments to the pleadings at this time.

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The case will be tried to a jury, pursuant to jury demands made by the defendants. The
parties estimate a 10-day jury trial.

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SEC v. Kara, et al.
Case No. 09-CV-1880 EMC

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JOINT STATUS REPORT

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Given the posture of the case, with three of the defendants in the civil case also facing

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criminal charges arising from the same conduct, the parties do not believe it would be productive

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or practical to set a trial date at this time.

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Dated: January 26, 2011

Respectfully submitted,

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/s/ Lloyd Farnham
LLOYD FARNHAM
Attorney for Plaintiff
SECURITIES AND EXCHANGE COMMISSION

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/s/ George C. Harris
GEORGE C. HARRIS
Morrison & Foerster LLP
Attorneys for Defendant MAHER KARA

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/s/ Ismail Ramsey
ISMAIL RAMSEY
Ramsey & Ehrlich LLP
Attorneys for Defendant MICHAEL F. KARA

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/s/ Patrick W. Blegen
PATRICK W. BLEGEN
Attorneys for Defendant BASSAM Y. SALMAN

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/s/ Matthew F. Leitman
MATTHEW F. LEITMAN
Miller Canfield Paddock and Stone, PLC
Attorneys for Defendant KARIM I. BAYYOUK

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GENERAL ORDER 45 ATTESTATION

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In accordance with General Order 45, each of the signatories to this document have

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concurred in its filing, and I shall maintain records to support these concurrences.

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UNIT
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/s/ Lloyd Farnham
LLOYD FARNHAM
Attorney for Plaintiff
SECURITIES AND EXCHANGE COMMISSION
IT IS SO ORDERED that the Further CMC is reset from 2/3/12 to 5/4/12 at 10:30 a.m.
An updated joint CMC Statement is due 4/27/12.
S DISTRICT
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______________________
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Edward M.ISChenRED
ORDE
IT SO
U.S. District Judge
SEC v. Kara,R et al.
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JOINT STATUS REPORT
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D IS T IC T O
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Case No. 09-CV-1880 EMC
A

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