Securities and Exchange Commission v. Robinson
Filing
8
CONSENT and FINAL JUDGMENT in favor of Securities and Exchange Commission against Cheryl L. Robinson. Signed by Chief Judge Gloria M. Navarro on 6/30/14. (Copies have been distributed pursuant to the NEF - MMM)
Stephen W. Simpson
Timothy N. England
Stephen L. Cohen
U.S. Securities and Exchange Commission
100 F Street, N.E.
Washington, DC 20549
Fax: 202.772.9228
simpsons@sec.gov / Tel. 202.551.4513
englandt@sec.gov / Tel. 202.551.4959
cohens@sec.gov / Tel. 202.551.4472
Attorneys for the Plaintiff
UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF NEVADA
SECURITIES AND EXCHANGE
COMMISSION,
Plaintiff,
v.
CHERYL L. ROBINSON
Defendant.
)
)
)
)
)
)
)
)
)
)
)
FINAL JUDGMENT AS TO
DEFENDANT CHERYL L. ROBINSON
2:14cv1036
The Securities and Exchange Commission having filed a Complaint and Defendant
Cheryl L. Robinson having entered a general appearance; consented to the Court’s jurisdiction
over her and over 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:
1
I.
IT IS HEREBY ORDERED that Defendant and any entities Defendant owns or controls
or with which Defendant is affiliated are permanently restrained and enjoined from participating
directly or indirectly in the issuance, offer, or sale of any securities, including but not limited to
joint venture agreements, proof of funds, bank guarantees, medium term notes, standby letters of
credit, structured notes, and similar instruments, provided, however, that such injunction shall
not prevent the purchase or sale of securities listed on a national securities exchange;
II.
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.
2
III.
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 aiding and abetting any violation of
Section 10(b) of the Exchange Act of 1934 [15 U.S.C. § 78j(b)] and Rule 10b-5 promulgated
thereunder [17 C.F.R. § 240.10b-5], by knowingly or recklessly providing substantial assistance
to any other person who violates Section 10(b) or Rule 10b-5 of the Exchange Act 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.
IV.
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)] in the offer or sale of any security by the
3
use of any means or instruments of transportation or communication in interstate commerce or
by use of the mails, directly or indirectly:
(a) to employ any device, scheme, or artifice to defraud;
(b) to obtain 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) to engage in any transaction, practice, or course of business which operates or
would operate as a fraud or deceit upon the purchaser.
V.
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 aiding and abetting any violation of
Section 17(a) of the Securities Act [15 U.S.C. § 77q(a)] by knowingly or recklessly providing
substantial assistance to any other person who violates Section 17(a) of the Exchange Act 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) to employ any device, scheme, or artifice to defraud;
(b) to obtain 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
4
(c) to engage in any transaction, practice, or course of business which operates or
would operate as a fraud or deceit upon the purchaser.
VI.
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 5 of the Securities Act
[15 U.S.C. § 77e] by, directly or indirectly, in the absence of any applicable exemption:
(a) Unless a registration statement is in effect as to a security, making use of any
means or instruments of transportation or communication in interstate commerce
or of the mails to sell such security through the use or medium of any prospectus
or otherwise;
(b) Unless a registration statement is in effect as to a security, carrying or causing to
be carried through the mails or in interstate commerce, by any means or
instruments of transportation, any such security for the purpose of sale or for
delivery after sale; or
(c) Making use of any means or instruments of transportation or communication in
interstate commerce or of the mails to offer to sell or offer to buy through the use
or medium of any prospectus or otherwise any security, unless a registration
statement has been filed with the Commission as to such security, or while the
registration statement is the subject of a refusal order or stop order or (prior to the
effective date of the registration statement) any public proceeding or examination
under Section 8 of the Securities Act [15 U.S.C. § 77h].
5
VII.
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 15(a) of the Exchange
Act [15 U.S.C. § 78o(a)] by, directly or indirectly:
(a) Unless first registered with the Commission as a broker or dealer, or unless if
Defendant’s business is exclusively intrastate and does not make use of any
facility of a national securities exchange, making use of the mails or any means or
instrumentality of interstate commerce to effect any transactions in, or to induce
or attempt to induce the purchase or sale of, any security other than an exempted
security or commercial paper, bankers’ acceptances, or commercial bills.
VIII.
IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant
is liable for disgorgement of $204,417, representing profits gained as a result of the conduct
alleged in the Complaint, together with prejudgment interest thereon in the amount of $13,802,
for a total of $218,219. Based on Defendant’s sworn representations in her Statement of
4,
Financial Condition dated March __, 2014, and other documents and information submitted to
the Commission, however, the Court is not ordering Defendant to pay a civil penalty and
payment of all the disgorgement and pre-judgment interest thereon is waived. The determination
not to impose a civil penalty and to waive payment of all the disgorgement and pre-judgment
interest is contingent upon the accuracy and completeness of Defendant’s Statement of Financial
Condition. If at any time following the entry of this Final Judgment the Commission obtains
6
information indicating that Defendant’s representations to the Commission concerning her
assets, income, liabilities, or net worth were fraudulent, misleading, inaccurate, or incomplete in
any material respect as of the time such representations were made, the Commission may, at its
sole discretion and without prior notice to Defendant, petition the Court for an order requiring
Defendant to pay the unpaid portion of the disgorgement, pre-judgment and post-judgment
interest thereon, and the maximum civil penalty allowable under the law. In connection with any
such petition, the only issue shall be whether the financial information provided by Defendant
was fraudulent, misleading, inaccurate, or incomplete in any material respect as of the time such
representations were made. In its petition, the Commission may move this Court to consider all
available remedies, including, but not limited to, ordering Defendant to pay funds or assets,
directing the forfeiture of any assets, or sanctions for contempt of this Final Judgment. The
Commission may also request additional discovery. Defendant may not, by way of defense to
such petition: (1) challenge the validity of the Consent or this Final Judgment; (2) contest the
allegations in the Complaint filed by the Commission; (3) assert that payment of disgorgement,
pre-judgment and post-judgment interest or a civil penalty should not be ordered; (4) contest the
amount of disgorgement and pre-judgment and post-judgment interest; (5) contest the imposition
of the maximum civil penalty allowable under the law; or (6) assert any defense to liability or
remedy, including, but not limited to, any statute of limitations defense. Defendant shall also
pay post-judgment interest on any delinquent amounts pursuant to 28 U.S.C. § 1961.
7
X.
IT IS FURTHER ORDERED that this Court shall retain jurisdiction of this matter for the
purposes of enforcing the terms of this Final Judgment.
IT IS SO ORDERED:
IT IS SO ORDERED.
UNITED STATES DISTRICT JUDGE
_____________________________
Gloria M. Navarro, Chief Judge
United States District Court
Dated:
DATED: 06/30/2014
8
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?