SEC v. Bernard Findley; and Halitron, Inc., No. 3:20-cv-0397, District of Connecticut (Mar. 20, 2024) — Judgment

UNITED STATES DISTRICT COURT
DISTRICT OF CONNECTICUT
UNITED STATES SECURITIES AND
EXCHANGE COMMISSION,
Plaintiff,
v.
BE
RNARD FINDLEY,
HALITRON, INC.,
Defendants.
C
ase No.: 3:20-cv-0397 (SRU)
PERMANENT INJUNCTION AND FINAL JUDGMENT
Th
is matter came on for trial before a jury and the Honorable Stefan R. Underhill, United
States District Judge. On January 17, 2023, after deliberation, the jury returned a verdict in favor
of the plaintiff, United States Securities and Exchange Commission, against the defendants,
Bernard Findley and Halitron Inc. (collectively “Defendants”), and found Defendants liable for
violating Section 17(a)(2) of the Securities Act, 15 U.S.C. § 77q(a), Section 10(b) of the
Securities and Exchange Act, 15 U.S.C. § 78j(b), and Rule 10b-5(b) thereunder, 17 C.F.R. §
240.10b-5.
On April 25, 2023, Plaintiff filed a motion for final judgment (doc. no. 146). Following
oral argument on October 11, 2023, and having considered the full record of the case, the Court
entered a ruling (doc. no. 164) granting the motion in part, denying the motion in part, and
directing Plaintiff to submit a proposed calculation of prejudgment interest. Having received the
parties’ briefs, the Court hereby imposes judgment as follows:
I.
Defendants and their agents, servants, employees, attorneys, successors or assigns, and
those persons in active concert or participation with them who receive actual notice of this order,

are permanently restrained and enjoined from violating Section 17(a) of the Securities Act, 15
U.S.C. § 77q(a), Section 10(b) of the Exchange Act, 15 U.S.C. § 78j(b), and Rule 10b-5
thereunder, 17 C.F.R. § 240.10b-5. Specifically, the enjoined parties are barred, in the purchase,
offer, or sale of any security by the use of any means or instruments of communication in
interstate commerce or by the use of the mails, from:
a.employing any device, scheme, or artifice to defraud;
b.   obtaining money or property by means of any untrue statement of a material
factor any omission of a material fact necessary in order to make the statements
made, in the light of the circumstances under which they were made, not
misleading; or
c.engaging in any transaction, practice, or course of business which operates or
would operate as a fraud or deceit upon the purchaser.
II.
Defendants are jointly and severally liable for disgorgement of $141,000, representing
profits gained as a result of the conduct on which they were found liable, together with
prejudgment interest thereon in the amount of $50,024.16, for a total of $191,024.16. Findley is
liable for a civil penalty in the amount of $250,000, pursuant to pursuant to Section 20(d) 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). Defendants shall satisfy these obligations by making payment(s) to the Securities and
Exchange Commission within 30 days after entry of this Final Judgment. Defendants shall pay
post judgment interest on any delinquent amounts pursuant to 28 U.S.C. § 1961.
The SEC shall hold the funds, together with any interest and income earned thereon
(collectively, the “Fund”), pending further order of the Court, for the benefit of the victims of the

Defendants’ fraud. The SEC may propose a plan to distribute the Fund subject to the Court’s
approval. Such a plan may provide that the Fund be distributed pursuant to the Fair Fund
provisions of Section 308(a) of the Sarbanes-Oxley Act of 2002. If the SEC determines that the
Fund will not be distributed, the SEC shall send the funds paid pursuant to this Final Judgment to
the United States Treasury.
III.
Pursuant to Section 21(d)(2) of the Exchange Act, 15 U.S.C. § 78u(d)(2), and Section
20(e) of the Securities Act, 15 U.S.C. § 77t(e), Findley is prohibited from acting as an officer or
director of any issuer that has a class of securities registered pursuant to Section 12 of the
Exchange Act, 15 U.S.C. § 78l, or that is required to file reports pursuant to Section 15(d) of the
Exchange Act, 15 U.S.C. § 78o(d), for a period of four (4) years from entry of this Final
Judgment.
IV.
Findley is barred from participating in an offering of penny stock, including engaging in
activities with a broker, dealer, or issuer for purposes of issuing, trading, or inducing or
attempting to induce the purchase or sale of any penny stock, for a period of four (4) years from
entry of this Final Judgment.
It is therefore;
ORDERED, ADJUDGED, and DECREED that judgment shall enter for the plaintiff,
United States Securities and Exchange Commission, against the defendants, Bernard Findley and
Halitron, Inc., in accordance with this Final Judgment as detailed above. This Court shall retain
jurisdiction of this matter for the purposes of enforcing the terms and distribution of this
Judgment. The Clerk is directed to close this case.

Dated at Bridgeport, Connecticut, this 20th day of March 2024.
/s/ STEFAN R. UNDERHILL
Stefan R. Underhill
United States District Judge

UNITED STATES DISTRICT COURT 
DISTRICT OF CONNECTICUT 

UNITED STATES SECURITIES AND 
EXCHANGE COMMISSION, 

Plaintiff, 

v. 

BERNARD FINDLEY, 
HALITRON, INC., 

Defendants. 

Case No.: 3:20-cv-0397 (SRU)

PERMANENT INJUNCTION AND FINAL JUDGMENT 

This matter came on for trial before a jury and the Honorable Stefan R. Underhill, United 

States District Judge. On January 17, 2023, after deliberation, the jury returned a verdict in favor 

of the plaintiff, United States Securities and Exchange Commission, against the defendants, 

Bernard Findley and Halitron Inc. (collectively “Defendants”), and found Defendants liable for 

violating Section 17(a)(2) of the Securities Act, 15 U.S.C. § 77q(a), Section 10(b) of the 

Securities and Exchange Act, 15 U.S.C. § 78j(b), and Rule 10b-5(b) thereunder, 17 C.F.R. § 

240.10b-5. 

On April 25, 2023, Plaintiff filed a motion for final judgment (doc. no. 146). Following 

oral argument on October 11, 2023, and having considered the full record of the case, the Court 

entered a ruling (doc. no. 164) granting the motion in part, denying the motion in part, and 

directing Plaintiff to submit a proposed calculation of prejudgment interest. Having received the 

parties’ briefs, the Court hereby imposes judgment as follows: 

I. 

Defendants and their agents, servants, employees, attorneys, successors or assigns, and 

those persons in active concert or participation with them who receive actual notice of this order, 

Case 3:20-cv-00397-SRU   Document 168   Filed 03/20/24   Page 1 of 4



are permanently restrained and enjoined from violating Section 17(a) of the Securities Act, 15 

U.S.C. § 77q(a), Section 10(b) of the Exchange Act, 15 U.S.C. § 78j(b), and Rule 10b-5 

thereunder, 17 C.F.R. § 240.10b-5. Specifically, the enjoined parties are barred, in the purchase, 

offer, or sale of any security by the use of any means or instruments of communication in 

interstate commerce or by the use of the mails, from: 

a. employing any device, scheme, or artifice to defraud;

b. obtaining money or property by means of any untrue statement of a material

factor any omission of a material fact necessary in order to make the statements

made, in the light of the circumstances under which they were made, not

misleading; or

c. engaging in any transaction, practice, or course of business which operates or

would operate as a fraud or deceit upon the purchaser.

II. 

Defendants are jointly and severally liable for disgorgement of $141,000, representing 

profits gained as a result of the conduct on which they were found liable, together with 

prejudgment interest thereon in the amount of $50,024.16, for a total of $191,024.16. Findley is 

liable for a civil penalty in the amount of $250,000, pursuant to pursuant to Section 20(d) 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). Defendants shall satisfy these obligations by making payment(s) to the Securities and 

Exchange Commission within 30 days after entry of this Final Judgment. Defendants shall pay 

post judgment interest on any delinquent amounts pursuant to 28 U.S.C. § 1961.  

The SEC shall hold the funds, together with any interest and income earned thereon 

(collectively, the “Fund”), pending further order of the Court, for the benefit of the victims of the 

Case 3:20-cv-00397-SRU   Document 168   Filed 03/20/24   Page 2 of 4



Defendants’ fraud. The SEC may propose a plan to distribute the Fund subject to the Court’s 

approval. Such a plan may provide that the Fund be distributed pursuant to the Fair Fund 

provisions of Section 308(a) of the Sarbanes-Oxley Act of 2002. If the SEC determines that the 

Fund will not be distributed, the SEC shall send the funds paid pursuant to this Final Judgment to 

the United States Treasury. 

III. 

Pursuant to Section 21(d)(2) of the Exchange Act, 15 U.S.C. § 78u(d)(2), and Section 

20(e) of the Securities Act, 15 U.S.C. § 77t(e), Findley is prohibited from acting as an officer or 

director of any issuer that has a class of securities registered pursuant to Section 12 of the 

Exchange Act, 15 U.S.C. § 78l, or that is required to file reports pursuant to Section 15(d) of the 

Exchange Act, 15 U.S.C. § 78o(d), for a period of four (4) years from entry of this Final 

Judgment. 

IV. 

Findley is barred from participating in an offering of penny stock, including engaging in 

activities with a broker, dealer, or issuer for purposes of issuing, trading, or inducing or 

attempting to induce the purchase or sale of any penny stock, for a period of four (4) years from 

entry of this Final Judgment.  

It is therefore; 

ORDERED, ADJUDGED, and DECREED that judgment shall enter for the plaintiff, 

United States Securities and Exchange Commission, against the defendants, Bernard Findley and 

Halitron, Inc., in accordance with this Final Judgment as detailed above. This Court shall retain 

jurisdiction of this matter for the purposes of enforcing the terms and distribution of this 

Judgment. The Clerk is directed to close this case.  

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Dated at Bridgeport, Connecticut, this 20th day of March 2024. 

/s/ STEFAN R. UNDERHILL 
Stefan R. Underhill  
United States District Judge 

Case 3:20-cv-00397-SRU   Document 168   Filed 03/20/24   Page 4 of 4