Securities And Exchange Commission v. Marovitz

Filing 5

MOTION by Plaintiff Securities And Exchange Commission for judgment to be entered (Attachments: # 1 Exhibit 1, # 2 Exhibit 2)(Hartman, Amy)

EXHIBIT 2

Consent of Defendant William A. Marovitz
Securities and Exchange Commission v. William A. Marovitz, No. 1:11-cv-05259

UNITED STATES DISTRICT COURT FOR THE
NORTHERN DISTRICT OF ILLINOIS
EASTERN DIVISION
SECURITIES AND EXCHANGE
COMMISSION,

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Plaintiff,
v.
WILLIAM A. MAROVITZ
Defendant.

Case No. 1:11-cv-05259
Honorable John W. Darrah

FINAL JUDGMENT AS TO DEFENDANT WILLIAM A. MAROVITZ
The Securities and Exchange Commission having filed a Complaint and Defendant William
A. Marovitz (“Defendant”) having entered a general appearance; consented to the Court’s
jurisdiction over Defendant and the subject matter of this action; consented to entry of this Final
Judgment without admitting or denying the allegations of the Complaint (except as to jurisdiction);
waived findings of fact and conclusions of law; and waived any right to appeal from this Final
Judgment:
I.
IT IS HEREBY ORDERED, ADJUDGED, AND DECREED that Defendant and
Defendant’s agents, servants, employees, attorneys, and all persons in active concert or participation
with them who receive actual notice of this Final Judgment by personal service or otherwise are
permanently restrained and enjoined from violating, directly or indirectly, Section 10(b) of the
Securities Exchange Act of 1934 (the “Exchange Act”) [15 U.S.C. § 78j(b)] and Rule 10b-5
promulgated thereunder [17 C.F.R. § 240.10b-5], by using any means or instrumentality of interstate

commerce, or of the mails, or of any facility of any national securities exchange, in connection with
the purchase or sale of any security:
(a)

to employ any device, scheme, or artifice to defraud;

(b)

to make any untrue statement of a material fact or to omit to state a material fact
necessary in order to make the statements made, in the light of the circumstances
under which they were made, not misleading; or

(c)

to engage in any act, practice, or course of business which operates or would
operate as a fraud or deceit upon any person.
II.

IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant and
Defendant’s agents, servants, employees, attorneys, and all persons in active concert or participation
with them who receive actual notice of this Final Judgment by personal service or otherwise are
permanently restrained and enjoined from violating Section 17(a) of the Securities Act of 1933 (the
“Securities Act”) [15 U.S.C. § 77q(a)] by, in the offer or sale of any security, by the use of any
means or instruments of transportation or communication in interstate commerce or by use of the
mails, directly or indirectly:
(a)

employing any device, scheme, or artifice to defraud;

(b)

obtaining money or property by means of any untrue statement of a material fact or
any omission of a material fact necessary in order to make the statements made, in
light of the circumstances under which they were made, not misleading; or

(c)

engaging in any transaction, practice, or course of business which operates or
would operate as a fraud or deceit upon the purchaser.
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III.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant is
liable for disgorgement of $100,952.40, representing profits gained and losses avoided as a result of
the conduct alleged in the Complaint, together with prejudgment interest thereon in the amount of
$34,235.83, and a civil penalty in the amount of $33,163.90 pursuant to Section 21A of the
Exchange Act and Section 20(d) of the Securities Act. Defendant shall satisfy this obligation by
paying $168,352.13 within 14 days after entry of this Final Judgment by certified check, bank
cashier’s check, or United States postal money order payable to the Securities and Exchange
Commission. The payment shall be delivered or mailed to the Office of Financial Management,
Securities and Exchange Commission, 100 F. Street, NE, Stop 6042, Washington D.C., 20549, and
shall be accompanied by a letter identifying William A. Marovitz as a defendant in this action;
setting forth the title and civil action number of this action and the name of this Court; specifying
that payment is made pursuant to this Final Judgment; and sending a copy of the letter to Amy
Flaherty Hartman at the Securities and Exchange Commission, Chicago Regional Office, 175 West
Jackson Boulevard, Suite 900, Chicago, Illinois 60604. Defendant shall pay post-judgment interest
on any delinquent amounts pursuant to 28 USC § 1961. The Commission shall remit the funds paid
pursuant to this paragraph to the United States Treasury.
IV.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that the Consent is
incorporated herein with the same force and effect as if fully set forth herein, and that Defendant
shall comply with all of the undertakings and agreements set forth therein.

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V.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that this Court shall retain
jurisdiction of this matter for the purposes of enforcing the terms of this Final Judgment.

Dated: ______________, _____
____________________________________
UNITED STATES DISTRICT JUDGE

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