Securities and Exchange Commission v. Connell

Filing 51

FINAL JUDGMENT AS TO DEFENDANT BARRY F. CONNELL: IT IS HEREBY ORDERED, ADJUDGED, AND DECREED that Defendant is permanently restrained and enjoined from violating, directly or indirectly, Section 206(1) and Section 206(2) of the Investment Advisers Ac t of 1940 ("Advisers Act") [15 U.S.C. §§ 80b-6(1) and 80b-6(2)], by using any means or instrumentality of interstate commerce, or of the mails: (a) to employ any device, scheme, or artifice to defraud any client or prospective cli ent; or (b) to engage in any transaction, practice, or course of business which operates as a fraud or deceit upon any client or prospective client. IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant is liable for disgorgement of $5,148 ,651.43, as a result of conduct alleged in the Complaint. Said disgorgement is deemed satisfied by the order of restitution entered in United States v. Connell, Crim. No. 17-cr-00116 (S.D.N.Y.), and as further set forth in this judgement. 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. (Signed by Judge Lorna G. Schofield on 12/30/2020) (jwh)

Case 1:17-cv-00831-LGS Document 51 Filed 12/30/20 Page 1 of 8

UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
SECURITIES AND EXCHANGE COMMISSION,
Plaintiff,

17 Civ. 00831 (LGS)
ECF Case

-againstBARRY F. CONNELL,
Defendant.

FINAL JUDGMENT AS TO DEFENDANT BARRY F. CONNELL
The Securities and Exchange Commission having filed a Complaint and Defendant Barry
F. Connell 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;
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 is
permanently restrained and enjoined from violating, directly or indirectly, Section 206(1) and
Section 206(2) of the Investment Advisers Act of 1940 (“Advisers Act”) [15 U.S.C. §§ 80b-6(1)
and 80b-6(2)], by using any means or instrumentality of interstate commerce, or of the mails:
(a)

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

(b)

to engage in any transaction, practice, or course of business which operates as a
fraud or deceit upon any client or prospective client.

Case 1:17-cv-00831-LGS Document 51 Filed 12/30/20 Page 2 of 8
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that, as provided in
Federal Rule of Civil Procedure 65(d)(2), the foregoing paragraph also binds the following who
receive actual notice of this Final Judgment by personal service or otherwise: (a) Defendant’s
officers, agents, servants, employees, and attorneys; and (b) other persons in active concert or
participation with Defendant or with anyone described in (a).
II.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant is liable
for disgorgement of $5,148,651.43, as a result of conduct alleged in the Complaint. Said
disgorgement is deemed satisfied by the order of restitution entered in United States v. Connell,
Crim. No. 17-cr-00116 (S.D.N.Y.).
III.
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.
IV.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that, for purposes of
exceptions to discharge set forth in Section 523 of the Bankruptcy Code, 11 U.S.C. §523, the
allegations in the complaint are true and admitted by Defendant, and further, any debt for
disgorgement, prejudgment interest, civil penalty or other amounts due by Defendant under this
Final Judgment or any other judgment, order, consent order, decree or settlement agreement
entered in connection with this proceeding, is a debt for the violation by Defendant of the
federal securities laws or any regulation or order issued under such laws, as set forth in Section
523(a)(19) of the Bankruptcy Code, 11 U.S.C. §523(a)(19).

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V.
Case 1:17-cv-00831-LGS Document 51 Filed 12/30/20 Page 3 of 8
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: December 30, 2020
New York, New York

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