SEC v. Mark Korb, No. 2:22-cv-04031-CAS, Central District of California (May 6, 2024) — Judgment

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UNITED STATES DISTRICT COURT
CENTRAL DISTRICT OF CALIFORNIA

SECURITIES AND EXCHANGE
COMMISSION,
Plaintiff,

vs.
MARK KORB,
Defendant.

    Case    No.    2:22-cv-04031-CAS-ASx

FINAL JUDGMENT AS TO
DEFENDANT MARK KORB

The Securities and Exchange Commission having filed a Complaint and
Defendant Mark Korb (“Defendant”) having entered a general appearance; consented
to the Court’s jurisdiction over Defendant and subject matter jurisdiction; consented
to entry of this Final Judgment without admitting or denying the allegations of the
Complaint (except as to jurisdiction and except as otherwise provided herein in
paragraph VIII); 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 Section 17(a)(3) of the Securities
Act of 1933 (the “Securities Act”) [15 U.S.C. § 77q(a)(3)] in the offer or sale of any
JS-6

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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, to engage in any
transaction, practice, or course of business which operates or would operate as a fraud
or deceit upon the purchaser.
 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 HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that
Defendant is permanently restrained and enjoined from violating Section 13(b)(5) of
the Securities Exchange Act of 1934 (“Exchange Act”) [15 U.S.C. § 78m(b)(5)] and
Rule 13b2-1 promulgated thereunder [17 C.F.R. § 240.13b2-1] by:
(a) knowingly circumventing or knowingly failing to implement a
system of internal accounting controls or knowingly falsifying any
book, record, or account described in Section 13(b)(2) of the
Exchange Act; or
(b) falsifying or causing to be falsified, directly or indirectly, any
book, record, or account subject to Section 13(b)(2)(A) of the
Exchange Act.
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).

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III.
IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that
Defendant is permanently restrained and enjoined from violating Rule 13a-14
promulgated under the Exchange Act [17 C.F.R. § 240.13a-14] by filing or causing to
be filed on behalf of any issuer any annual or quarterly report required to be filed
with the Commission pursuant to Section 13(a) of the Exchange Act [15 U.S.C. §
78m(a)], and the rules and regulations promulgated thereunder, which contains a
certification required by Rule 13a-14 [17 C.F.R. § 240.13a-14] that includes an
untrue statement of material fact, or fails to include, in addition to the information
required to be stated in such certification, such further material information as may be
necessary to make the required statements, in light of the circumstances under which
they were made, not misleading, or fails to disclose any information required to be
disclosed therein.
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).
IV.
IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that
Defendant is permanently restrained and enjoined from aiding and abetting any
violation of Section 13(a) of the Exchange Act [15 U.S.C. § 78m(a)] and Rules 12b-
20, 13a-1, 13a-13, and 13a-15(a) promulgated thereunder [17 C.F.R. §§ 240.12b-20,
240.13a-1, 240.13a-13, and 240.13a-15(a)] by knowingly or recklessly providing
substantial assistance to an issuer, whose securities are registered pursuant to Section
12 of the Exchange Act [15 U.S.C. § 78l] or which has a requirement to file reports
pursuant to Section 15(d) of the Exchange Act [15 U.S.C. § 78o(d)], that violates,

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directly or indirectly, Section 13(a) of the Exchange Act [15 U.S.C. § 78m(a)] and
Rules 12b-20, 13a-1, 13a-13, or 13a-15(a) promulgated thereunder [17 C.F.R. §§
240.12b-20, 240.13a-1, 240.13a-13, or 13a-15(a)], by failing to:
(a) file annual, current, or quarterly reports in conformity with the
instructions on Form 10-K, Form 8-K, and Form 10-Q,
respectively;
(b) file such reports in conformity with the Commission’s integrated
reporting and disclosure regulations, Regulation S-K and S-X [17
C.F.R. §§ 229.10 et seq. and 210.1-01 et seq.];
(c) include such further material information as may be necessary to
make the required statements in such reports, in light of the
circumstances under which they were made, not misleading; or
(d) design and maintain disclosure controls and procedures, and
internal controls over financial reporting.
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).
V.
IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that
Defendant is permanently restrained and enjoined from aiding and abetting any
violation of Sections 13(b)(2)(A) and 13(b)(2)(B) of the Exchange Act [15 U.S.C. §§
78m(b)(2)(A) or 78(b)(2)(B)] by knowingly or recklessly providing substantial
assistance to an issuer that:
(a) fails to make and keep books, records, or accounts, which, in
reasonable detail, accurately and fairly reflect the transactions and

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dispositions of the issuer’s assets; or
(b) fails to devise and maintain a system of internal accounting
controls sufficient to provide reasonable assurances that (i)
transactions are executed in accordance with management’s
general or specific authorization; (ii) transactions are recorded as
necessary (A) to permit preparation of financial statements in
conformity with generally accepted accounting principles or any
other criteria applicable to such statements, and (B) to maintain
accountability for assets; (iii) access to assets is permitted only in
accordance with management’s general or specific authorization;
and (iv) the recorded accountability for assets is compared with
the existing assets at reasonable intervals and appropriate action is
taken with respect to any differences.
 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).
VI.
IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that
Defendant is liable for a civil penalty in the amount of $60,000 pursuant to Section
20(d)(2)(C) of the Securities Act [15 U.S.C. § 77t(d)] and Section 21(d)(3) of the
Exchange Act [15 U.S.C. § 78u(d)(3)].  Defendant shall satisfy this obligation
pursuant to the terms of the payment schedule set forth in paragraph VII below after
entry of this Final Judgment.
Defendant may transmit payment electronically to the Commission, which will
provide detailed ACH transfer/Fedwire instructions upon request.   Payment may also

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be made directly from a bank account via Pay.gov through the SEC website at
http://www.sec.gov/about/offices/ofm.htm.  Defendant may also 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; Mark Korb as a defendant in this action; and specifying that
payment is made pursuant to this Final Judgment.
Defendant shall simultaneously transmit photocopies of evidence of payment
and case identifying information to the Commission’s counsel in this action.  By
making this payment, Defendant relinquishes all legal and equitable right, title, and
interest in such funds and no part of the funds shall be returned to Defendant.
The Commission may enforce the Court’s judgment for penalties by the use of
all collection procedures authorized by law, including the Federal Debt Collection
Procedures Act, 28 U.S.C. § 3001 et seq., and moving for civil contempt for the
violation of any Court orders issued in this action.   Defendant shall pay post
judgment interest on any amounts due after 30 days of the entry of this Final
Judgment pursuant to 28 U.S.C. § 1961.  The Commission shall hold the funds,
together with any interest and income earned thereon (collectively, the “Fund”),
pending further order of the Court.
The Commission may propose a plan to distribute the Fund subject to the
Court’s approval.  Such a plan may provide that the Fund shall be distributed
pursuant to the Fair Fund provisions of Section 308(a) of the Sarbanes-Oxley Act of
2002.  The Court shall retain jurisdiction over the administration of any distribution
of the Fund and the Fund may only be disbursed pursuant to an Order of the Court.

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Regardless of whether any such Fair Fund distribution is made, amounts
ordered to be paid as civil penalties pursuant to this Judgment shall be treated as
penalties paid to the government for all purposes, including all tax purposes.  To
preserve the deterrent effect of the civil penalty, Defendant shall not, after offset or
reduction of any award of compensatory damages in any Related Investor Action
based on Defendant’s payment of disgorgement in this action, argue that he is entitled
to, nor shall he further benefit by, offset or reduction of such compensatory damages
award by the amount of any part of Defendant’s payment of a civil penalty in this
action (“Penalty Offset”).  If the court in any Related Investor Action grants such a
Penalty Offset, Defendant shall, within 30 days after entry of a final order granting
the Penalty Offset, notify the Commission’s counsel in this action and pay the amount
of the Penalty Offset to the United States Treasury or to a Fair Fund, as the
Commission directs.  Such a payment shall not be deemed an additional civil penalty
and shall not be deemed to change the amount of the civil penalty imposed in this
Judgment.  For purposes of this paragraph, a “Related Investor Action” means a
private damages action brought against Defendant by or on behalf of one or more
investors based on substantially the same facts as alleged in the Complaint in this
action.
VII.
Defendant shall pay the total penalty due of $60,000 in five (5) installments to
the Commission according to the following schedule:  (1) $12,000, within 10 days of
entry of this Final Judgment; (2) $12,000, within 90 days of entry of this Final
Judgment; (3) $12,000, within 180 days of entry of this Final Judgment; (4) $12,000,
within 270 days of entry of this Final Judgment; and (5) $12,000, within 364 days of
entry of this Final Judgment.  Payments shall be deemed made on the date they are
received by the Commission and shall be applied first to post judgment interest,
which accrues pursuant to 28 U.S.C. § 1961 on any unpaid amounts due after 30 days
of the entry of Final Judgment.  Prior to making the final payment set forth herein,

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Defendant shall contact the staff of the Commission for the amount due for the final
payment.
      If Defendant fails to make any payment by the date agreed and/or in the
amount agreed according to the schedule set forth above, all outstanding payments
under this Final Judgment, including post-judgment interest, minus any payments
made, shall become due and payable immediately at the discretion of the staff of the
Commission without further application to the Court.
VIII.
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.
IX.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that, solely 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).
X.
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:  April 10, 2024                      _____
UNITED STATES DISTRICT JUDGE

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UNITED STATES DISTRICT COURT 

CENTRAL DISTRICT OF CALIFORNIA 

 

SECURITIES AND EXCHANGE 
COMMISSION, 

Plaintiff, 
 

vs. 

MARK KORB, 

Defendant. 
 

 Case No. 2:22-cv-04031-CAS-ASx 
 
 
FINAL JUDGMENT AS TO 
DEFENDANT MARK KORB 
 

 
The Securities and Exchange Commission having filed a Complaint and 

Defendant Mark Korb (“Defendant”) having entered a general appearance; consented 

to the Court’s jurisdiction over Defendant and subject matter jurisdiction; consented 

to entry of this Final Judgment without admitting or denying the allegations of the 

Complaint (except as to jurisdiction and except as otherwise provided herein in 

paragraph VIII); 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 Section 17(a)(3) of the Securities 

Act of 1933 (the “Securities Act”) [15 U.S.C. § 77q(a)(3)] in the offer or sale of any 

JS-6

Case 2:22-cv-04031-CAS-AS   Document 29   Filed 04/10/24   Page 1 of 8   Page ID #:113



 

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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, to engage in any 

transaction, practice, or course of business which operates or would operate as a fraud 

or deceit upon the purchaser. 

 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 HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that 

Defendant is permanently restrained and enjoined from violating Section 13(b)(5) of 

the Securities Exchange Act of 1934 (“Exchange Act”) [15 U.S.C. § 78m(b)(5)] and 

Rule 13b2-1 promulgated thereunder [17 C.F.R. § 240.13b2-1] by: 

(a) knowingly circumventing or knowingly failing to implement a 

system of internal accounting controls or knowingly falsifying any 

book, record, or account described in Section 13(b)(2) of the 

Exchange Act; or 

(b) falsifying or causing to be falsified, directly or indirectly, any 

book, record, or account subject to Section 13(b)(2)(A) of the 

Exchange Act. 

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). 

Case 2:22-cv-04031-CAS-AS   Document 29   Filed 04/10/24   Page 2 of 8   Page ID #:114



 

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III. 

IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that 

Defendant is permanently restrained and enjoined from violating Rule 13a-14 

promulgated under the Exchange Act [17 C.F.R. § 240.13a-14] by filing or causing to 

be filed on behalf of any issuer any annual or quarterly report required to be filed 

with the Commission pursuant to Section 13(a) of the Exchange Act [15 U.S.C. § 

78m(a)], and the rules and regulations promulgated thereunder, which contains a 

certification required by Rule 13a-14 [17 C.F.R. § 240.13a-14] that includes an 

untrue statement of material fact, or fails to include, in addition to the information 

required to be stated in such certification, such further material information as may be 

necessary to make the required statements, in light of the circumstances under which 

they were made, not misleading, or fails to disclose any information required to be 

disclosed therein. 

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). 

IV. 

IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that 

Defendant is permanently restrained and enjoined from aiding and abetting any 

violation of Section 13(a) of the Exchange Act [15 U.S.C. § 78m(a)] and Rules 12b-

20, 13a-1, 13a-13, and 13a-15(a) promulgated thereunder [17 C.F.R. §§ 240.12b-20, 

240.13a-1, 240.13a-13, and 240.13a-15(a)] by knowingly or recklessly providing 

substantial assistance to an issuer, whose securities are registered pursuant to Section 

12 of the Exchange Act [15 U.S.C. § 78l] or which has a requirement to file reports 

pursuant to Section 15(d) of the Exchange Act [15 U.S.C. § 78o(d)], that violates, 

Case 2:22-cv-04031-CAS-AS   Document 29   Filed 04/10/24   Page 3 of 8   Page ID #:115



 

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directly or indirectly, Section 13(a) of the Exchange Act [15 U.S.C. § 78m(a)] and 

Rules 12b-20, 13a-1, 13a-13, or 13a-15(a) promulgated thereunder [17 C.F.R. §§ 

240.12b-20, 240.13a-1, 240.13a-13, or 13a-15(a)], by failing to: 

(a) file annual, current, or quarterly reports in conformity with the 

instructions on Form 10-K, Form 8-K, and Form 10-Q, 

respectively; 

(b) file such reports in conformity with the Commission’s integrated 

reporting and disclosure regulations, Regulation S-K and S-X [17 

C.F.R. §§ 229.10 et seq. and 210.1-01 et seq.]; 

(c) include such further material information as may be necessary to 

make the required statements in such reports, in light of the 

circumstances under which they were made, not misleading; or  

(d) design and maintain disclosure controls and procedures, and 

internal controls over financial reporting. 

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). 

V. 

IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that 

Defendant is permanently restrained and enjoined from aiding and abetting any 

violation of Sections 13(b)(2)(A) and 13(b)(2)(B) of the Exchange Act [15 U.S.C. §§ 

78m(b)(2)(A) or 78(b)(2)(B)] by knowingly or recklessly providing substantial 

assistance to an issuer that: 

(a) fails to make and keep books, records, or accounts, which, in 

reasonable detail, accurately and fairly reflect the transactions and 

Case 2:22-cv-04031-CAS-AS   Document 29   Filed 04/10/24   Page 4 of 8   Page ID #:116



 

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dispositions of the issuer’s assets; or 

(b) fails to devise and maintain a system of internal accounting 

controls sufficient to provide reasonable assurances that (i) 

transactions are executed in accordance with management’s 

general or specific authorization; (ii) transactions are recorded as 

necessary (A) to permit preparation of financial statements in 

conformity with generally accepted accounting principles or any 

other criteria applicable to such statements, and (B) to maintain 

accountability for assets; (iii) access to assets is permitted only in 

accordance with management’s general or specific authorization; 

and (iv) the recorded accountability for assets is compared with 

the existing assets at reasonable intervals and appropriate action is 

taken with respect to any differences.     

 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). 

VI. 

IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that 

Defendant is liable for a civil penalty in the amount of $60,000 pursuant to Section 

20(d)(2)(C) of the Securities Act [15 U.S.C. § 77t(d)] and Section 21(d)(3) of the 

Exchange Act [15 U.S.C. § 78u(d)(3)].  Defendant shall satisfy this obligation 

pursuant to the terms of the payment schedule set forth in paragraph VII below after 

entry of this Final Judgment. 

Defendant may transmit payment electronically to the Commission, which will 

provide detailed ACH transfer/Fedwire instructions upon request.   Payment may also 

Case 2:22-cv-04031-CAS-AS   Document 29   Filed 04/10/24   Page 5 of 8   Page ID #:117



 

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be made directly from a bank account via Pay.gov through the SEC website at 

http://www.sec.gov/about/offices/ofm.htm.  Defendant may also 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; Mark Korb as a defendant in this action; and specifying that 

payment is made pursuant to this Final Judgment.   

Defendant shall simultaneously transmit photocopies of evidence of payment 

and case identifying information to the Commission’s counsel in this action.  By 

making this payment, Defendant relinquishes all legal and equitable right, title, and 

interest in such funds and no part of the funds shall be returned to Defendant. 

The Commission may enforce the Court’s judgment for penalties by the use of 

all collection procedures authorized by law, including the Federal Debt Collection 

Procedures Act, 28 U.S.C. § 3001 et seq., and moving for civil contempt for the 

violation of any Court orders issued in this action.   Defendant shall pay post 

judgment interest on any amounts due after 30 days of the entry of this Final 

Judgment pursuant to 28 U.S.C. § 1961.  The Commission shall hold the funds, 

together with any interest and income earned thereon (collectively, the “Fund”), 

pending further order of the Court.     

The Commission may propose a plan to distribute the Fund subject to the 

Court’s approval.  Such a plan may provide that the Fund shall be distributed 

pursuant to the Fair Fund provisions of Section 308(a) of the Sarbanes-Oxley Act of 

2002.  The Court shall retain jurisdiction over the administration of any distribution 

of the Fund and the Fund may only be disbursed pursuant to an Order of the Court.    

Case 2:22-cv-04031-CAS-AS   Document 29   Filed 04/10/24   Page 6 of 8   Page ID #:118



 

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Regardless of whether any such Fair Fund distribution is made, amounts 

ordered to be paid as civil penalties pursuant to this Judgment shall be treated as 

penalties paid to the government for all purposes, including all tax purposes.  To 

preserve the deterrent effect of the civil penalty, Defendant shall not, after offset or 

reduction of any award of compensatory damages in any Related Investor Action 

based on Defendant’s payment of disgorgement in this action, argue that he is entitled 

to, nor shall he further benefit by, offset or reduction of such compensatory damages 

award by the amount of any part of Defendant’s payment of a civil penalty in this 

action (“Penalty Offset”).  If the court in any Related Investor Action grants such a 

Penalty Offset, Defendant shall, within 30 days after entry of a final order granting 

the Penalty Offset, notify the Commission’s counsel in this action and pay the amount 

of the Penalty Offset to the United States Treasury or to a Fair Fund, as the 

Commission directs.  Such a payment shall not be deemed an additional civil penalty 

and shall not be deemed to change the amount of the civil penalty imposed in this 

Judgment.  For purposes of this paragraph, a “Related Investor Action” means a 

private damages action brought against Defendant by or on behalf of one or more 

investors based on substantially the same facts as alleged in the Complaint in this 

action. 

VII. 

Defendant shall pay the total penalty due of $60,000 in five (5) installments to 

the Commission according to the following schedule:  (1) $12,000, within 10 days of 

entry of this Final Judgment; (2) $12,000, within 90 days of entry of this Final 

Judgment; (3) $12,000, within 180 days of entry of this Final Judgment; (4) $12,000, 

within 270 days of entry of this Final Judgment; and (5) $12,000, within 364 days of 

entry of this Final Judgment.  Payments shall be deemed made on the date they are 

received by the Commission and shall be applied first to post judgment interest, 

which accrues pursuant to 28 U.S.C. § 1961 on any unpaid amounts due after 30 days 

of the entry of Final Judgment.  Prior to making the final payment set forth herein, 

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Defendant shall contact the staff of the Commission for the amount due for the final 

payment.  

      If Defendant fails to make any payment by the date agreed and/or in the 

amount agreed according to the schedule set forth above, all outstanding payments 

under this Final Judgment, including post-judgment interest, minus any payments 

made, shall become due and payable immediately at the discretion of the staff of the 

Commission without further application to the Court. 

VIII. 

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. 

IX. 

IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that, solely 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). 

X. 

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:  April 10, 2024    ___ __ 

UNITED STATES DISTRICT JUDGE 

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