From today's SEC Digest:
APPLICATION FOR SHOW CAUSE ORDER AGAINST STANLEY VAN ETTEN
On May 25, the* filed an application for an order to show cause why Stanley H. Van Etten (Van Etten) should not be held in contempt for his violation of the Court's order entered September 17, 1999, requiring him to pay disgorgement. The Commission's complaint, filed on March 16, 1998, alleged that beginning in April, 1995, International Heritage, Inc. (IHI) , a North Carolina corporation, through Van Etten and others, solicited individuals throughout the United States to invest in a pyramid scheme through misleading promotional materials, meetings, videotapes, internet web pages, and national conference calls to increase investor interest. IHI raised more than $150 million from over 155,000 investors.
On September 17, 1999, a final judgment of permanent injunction was entered against Van Etten, restraining and enjoining him from further violations of the registration, antifraud and reporting provisions of the federal securities laws. The Court ordered disgorgement against Van Etten in the amount of $7,630,450, but due to a demonstrated inability to pay, the Court ordered him to pay $150,000, waived payment of the remaining disgorgement, pre-judgment and post-judgment interest, did not impose a civil penalty, and required him to waive certain claims against the bankruptcy estate of IHI. Van Etten consented to the entry of the judgment without admitting or denying the allegations of the Commission's complaint. Van Etten has failed to pay $25,000 of the disgorgement. [SEC v. International Heritage, Inc., Stanley H. Van Etten, Claude W. Savage, Larry G. Smith, and International Heritage, Incorporated, Civil Action No. 1:98-0803-CV-RWS, NDGA] (LR-17020)
sec.gov
* Presumably the missing word here is "Commission". |
