Securities and Exchange Commission v. Colangelo et al

Filing 34

FINAL JUDGMENT in favor of Securities and Exchange Commission against WealthCFO, LLC. Signed by Hon. Lawrence J. Vilardo on 9/4/2018. (APG)-CLERK TO FOLLOW UP-

UNITED STATES DISTRICT COURT
WESTERN DISTRICT OF NEW YORK
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SECURITIES AND EXCHANGE COMMISSION,
:
:
Plaintiff,
:
:
v.
:
:
TAREK D. BAHGAT and
:
LAURAMARIE COLANGELO,
:
:
Defendants,
:
:
and
:
:
WEALTHCFO, LLC
:
:
Relief Defendant.
:
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No. 17-cv-00971 (LJV)

FINAL JUDGMENT AS TO RELIEF DEFENDANT WEALTHCFO, LLC
WHEREAS on September 28, 2017, the plaintiff, Securities and Exchange Commission
(“Commission”), filed its complaint in this action, and on October 17, 2017, served a summons
and the complaint on the Relief Defendant, WealthCFO LLC (“WealthCFO”); and
WHEREAS WealthCFO has not answered or otherwise responded to the complaint, and
on June 21, 2018, the Clerk of Court entered a default against WealthCFO, and
WHEREAS on July 13, 2018, the Commission, pursuant to Fed. R. Civ. P. 55(b)(2), filed
a motion for a judgment by default against WealthCFO; and
WHEREAS the Court has considered the Commission’s submission in support of that
motion and finds that the entry of a judgment by default is warranted;
NOW THEREFORE:

I.
IT IS HEREBY ORDERED, ADJUDGED, AND DECREED that the Relief Defendant,
WealthCFO, is liable for disgorgement of $369,601.97, representing ill-gotten gains resulting
from the conduct alleged in the complaint, together with prejudgment interest thereon in the
amount of $39,803.65, for a total of $409,405.62. WealthCFO shall satisfy this obligation by
paying $409,405.62 to the Commission within 14 days after entry of this final judgment.
Relief Defendant WealthCFO may transmit payment electronically to the Commission,
which will provide detailed ACH transfer/Fedwire instructions upon request. Payment may also
be made directly from a bank account via Pay.gov through the Commission website at
http://www.sec.gov/about/offices/ofm.htm. WealthCFO also may pay by certified check, bank
cashier’s check, or United States postal money order payable to the Securities and Exchange
Commission, which shall be delivered or mailed to
Enterprise Services Center
Accounts Receivable Branch
6500 South MacArthur Boulevard
Oklahoma City, OK 73169
and shall be accompanied by a letter identifying the case title, civil action number, and name of
this Court; identifying WealthCFO, LLC, as a defendant in this action; and specifying that
payment is made pursuant to this final judgment.
WealthCFO shall simultaneously transmit photocopies of evidence of payment and case
identifying information to the Commission’s counsel in this action. By making this payment,
WealthCFO relinquishes all legal and equitable right, title, and interest in such funds, and no part
of the funds, shall be returned to WealthCFO.

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The Commission shall hold the funds (collectively, the “Fund”) and may propose a plan
to distribute the Fund subject to the Court’s approval. The Court shall retain jurisdiction over the
administration of any distribution of the Fund. If the Commission staff determines that the Fund
will not be distributed, the Commission shall send the funds paid pursuant to this Final Judgment
to the United States Treasury.
The Commission may enforce this final judgment by moving for civil contempt (and/or
through other collection procedures authorized by law) at any time after 14 days following entry
of this final judgment. WealthCFO shall pay post judgment interest on any delinquent amounts
pursuant to 28 U.S.C. § 1961.
II.
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.
III.
There being no just reason for delay, pursuant to Rule 54(b) of the Federal Rules of Civil
Procedure, the Clerk is ordered to enter this final judgment forthwith and without further notice.

Dated: September 4, 2018
s/ Lawrence J. Vilardo ___________
LAWRENCE J. VILARDO
UNITED STATES DISTRICT JUDGE

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