SOURCE MEDIA INC filed this DEF 14A on 06/06/2000.
rrant agreement as presently in effect, the last sales price of the Company's common stock must be $20.00 per share or more
for 20 consecutive trading days. The proposed modification would allow the Company to call the warrants for redemption if the
last sales price of the Company's common stock was $13.00 per share or more for ten consecutive trading days. As required by
the warrant agreement, GKN Securities Corp . has consented to the proposed modification. Your consent to this modification
will not affect any other provisions of either the warrant agreement or your warrants or your interest in and to the warrants or in
and to the shares of the Company's common stock issuable upon their exercise. Why the Board believes you should consent to
the proposed modification The warrants are scheduled tenkwizard.com.
oag.state.ny.us
GKN Securities Corp.
In August 1997, NASDR fined GKN Securities Corp. ("GKN") as well as 29 brokers and supervisors $725,000 and ordered them
to repay more than $1.4 million to investors who were overcharged as the result of a two-year-long program of excessive
mark-ups in eight securities. Three of the firm's top officials also received significant fines and suspensions. All of the violations
occurred at GKN's offices in New York City; Stanford, Connecticut; and Boca Raton, Florida.
From December 1993 through April 1996, GKN dominated and controlled the immediate after-market trading in eight securities it
underwrote so that there was no competitive market for them. As a result, GKN was able to charge excessive markups, ranging
from 6 % to as much as 67% over the prevailing market price, in more than 1,500 transactions. At least 90% of these
transactions were fraudulent because the markup exceeded 10%.
As part of the settlement, GKN must pay a $250,000 fine to NASDR, and hire an independent consultant to review the firm's
trading policies and procedures for 18 months.
In separate settlements, 22 brokers were fined from $3,000 to $25,000 each, and suspended. NASDR found that these
individuals were also responsible for overcharging investors because they accepted excessive gross commissions of 10% to
40%. |
