2026-02-24 sec-litreleases judgment 307 KB 6,230 chars

SEC v. Carolyn W. Carter; and Joseph C. Lewis, No. 1:23-cv-06438, Southern District of New York (Feb. 24, 2026) — Judgment

raw: Final Judgment As To Carolyn W. Carter

Final Judgment As To Carolyn W. Carter, No. 1:23-cv-06438 (Feb. 24, 2026)

Caption: U.S. Securities and Exchange Commission v. Lewis

Enriched metadata

Scheme: unregistered-securities (70%)
Court: Southern District of New York
Case No.: 1:23-cv-06438
Outcome: settled
Disgorgement: $241,155
Civil penalty: $241

Classified unregistered-securities(confidence 70%). EDGAR detection: forms Form D/S-1· recall 41% / precision 30%. detection rule →

Extracted insights

Dollar amounts 2

$526K $525,899 $100K–$1M
$241 $241 <$10K

Entities 3

agency $525,899.06 to the securities and exchange commission
person carolyn w. carter
agency United States Securities And Exchange Commission

Triples 8

United States Securities And Exchange Commission filed a Complaint against Joseph C. Lewis, et al.
Carolyn W. Carter consented to the Court's jurisdiction over herself and the subject matter of this action
Carolyn W. Carter waived findings of fact and conclusions of law in this case
Carolyn W. Carter waived any right to appeal from this Final Judgment
Court restrained and enjoined Carolyn W. Carter from violating Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5
Court ordered disgorgement of $241,154.81 from Carolyn W. Carter
Court imposed a civil penalty of $241,154.81 on Carolyn W. Carter
Carolyn W. Carter shall pay $525,899.06 to the Securities and Exchange Commission

PDF

Final Judgment As To Carolyn W. Carter · Source

Text layers

Extracted body text (6,230c)

UNITED ST A TES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK

UNITED STATES SECURITIES AND
EXCHANGE COMMISSION,

Plaintiff,

vs. Civil No. 1:23-cv-6438-CM

JOSEPH C. LEWIS, et al.

Defendants

FINAL JUDGMENT AS TO CAROLYN W. CARTER

The Securities and Exchange Commission having filed a Complaint and Defendant

Carolyn W. Carter having entered a general appearance; consented to the Court's jurisdiction

over Defendant and the subject matter of this action; 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 IV); waived findings of fact and conclusions of

law; and waived any right to appeal from this Final Judgment:

INJUNCTION

IT IS HEREBY ORDERED, ADJUDGED, AND DECREED that Defendant is

permanently restrained and enjoined from violating, directly or indirectly, Section I0(b) of the

Securities Exchange Act of 1934 (the "Exchange Act") [15 U.S.C. § 78j(b )] and Rule I 0b-5

promulgated thereunder [17 C.F.R. § 240.l0b-5], by using any means or instrumentality of

interstate commerce, or of the mails, or of any facility of any national securities exchange, in

connection with the purchase or sale of any security:

(a) to employ any device, scheme, or artifice to defraud;

(b) to make any untrue statement of a material fact or to omit to state 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) to engage in any act, practice, or course of business which operates or would

operate as a fraud or deceit upon any person.

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.

DISGORGEMENT & PENAL TY

IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant is liable

for disgorgement of $241 ,154.8 1, representing net profits gained as a result of the conduct

alleged in the Complaint, together with prejudgment interest thereon in the amount of

$43 ,589.44. The Court finds that sending the disgorged funds to the United States Treasury, as

ordered below, is consistent with equitable principles. The Court further imposes a civil penalty

in the amount of $241 ,154.8 1 pursuant to Exchange Act Section 21A [15 U.S.C. § 78u-l(a)(2)] .

Defendant shall satisfy these obligations by paying $525,899.06 to the Securities and Exchange

Commission within 30 days 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 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; Carolyn W. Carter 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 al! legal and equitable right, title, and interest in such funds and no part

of the funds shall be returned to Defendant. The Commission shall send the funds paid pursuant

to this Final Judgment to the United States Treasury.

The Commission may enforce the Court's judgment for disgorgement and prejudgment

interest by using all collection procedures authorized by law, including, but not limited to,

moving for civil contempt at any time after 30 days following entry of this Final Judgment. 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.

III.

1T 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.

IV.

BANKRUPTCY NONDISCHARGEABILITY

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 th is 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)(l9).

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.

VI.

RULE 54(b) CERTIFICATION

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: ¥ 2025

UNITED STATES DISTRICT JUDGE

OCR text (7,031c · textlayer · 95% conf)

Case 1:23-cv-06438-CM Document 36-2 Filed 02/11/25 Page 1 of 5