2025-02-05 sec-litreleases judgment 2028 KB 12,948 chars

SEC v. Joseph M. Laura; Anthony R. Sichenzio; and Walter Gil De Rubio, No. 1:18-cv-05075, Eastern District of New York (Feb. 5, 2025) — Judgment

raw: SEC v. JOSEPH M. LAURA

SEC v. JOSEPH M. LAURA, No. 1:18-cv-05075 (Feb. 5, 2025)

Caption
Brooks Crossing v. Clarke
summary

Joseph M. Laura was found liable for federal securities law violations and ordered to pay disgorgement, interest, and civil penalties following an SEC enforcement action.

paragraph

The SEC obtained a judgment against defendant Joseph M. Laura for violations of Section 17(a) of the Securities Act and Section 10(b) of the Exchange Act. The court ordered Laura to pay disgorgement of ill-gotten gains, prejudgment interest dating back to June 1, 2013, and civil penalties. The specific monetary amounts for these sanctions are to be determined by the Court upon a motion by the Commission.

narrative

The Securities and Exchange Commission successfully pursued legal action against Joseph M. Laura for violations of federal securities laws, including fraud and unregistered broker-dealer activity. Specifically, the court found Laura liable for violations of Section 17(a) of the Securities Act and Section 10(b) of the Exchange Act. As part of the judgment, Laura is permanently enjoined from employing fraudulent schemes, making material omissions, or acting as an unregistered broker-dealer. The court also ordered the payment of disgorgement of ill-gotten gains and civil penalties, along with prejudgment interest calculated from June 1, 2013. While the exact financial totals are subject to a future motion by the Commission, the defendant has waived his right to appeal. This judgment follows a prior memorandum and order from June 28, 2023, which established liability for certain claims.

Enriched metadata

Scheme
broker-dealer-fraud (95%)
Court
Eastern District of New York
Case No.
1:18-cv-05075
Outcome
settled
Classified broker-dealer-fraud(confidence 95%). EDGAR detection: forms Form D· recall 29% / precision 9%. detection rule →
Statutes
15 U.S.C. § 78j(b)15 U.S.C. § 77q(a)15 U.S.C. § 78o(a)15 U.S.C. § 78o(b)15 U.S.C. § 77t(d)15 U.S.C. § 78u(d)26 U.S.C. § 6621(a)11 U.S.C. §52311 U.S.C. §523(a)17 C.F.R. § 240.10b-5Section 17(a)(2) of the Securities ActSection 17(a)(2) of the Securities ActSection 10(b) of the Securities Exchange ActSection 20(d) of the Securities ActRule 10b-5
Parties
Brooks CrossingClarke
Keywords
hg-vms documentdocument pagepage pageidordered adjudgedadjudged decreedfurther orderedcv-hg-vmsdocumentpagepageidsecuritiessecurities exchangeorderedcivil

Extracted insights

Entities 2
  • person Joseph M. Laura
  • agency Securities and Exchange Commission
Triples 14
  • Securities And Exchange Commission Filed a Complaint Against Joseph M. Laura, Anthony R. Sichenzio, and Walter Gil De Rubio
  • Joseph M. Laura Entered a General Appearance In The Case
  • Joseph M. Laura Consented To Jurisdiction By The Court Over The Subject Matter Of This Action
  • Joseph M. Laura Was Found Liable By The Court In Its June 28, 2023 Memorandum And Order As To Certain Matters Alleged In The Complaint
  • Joseph M. Laura Consented To Entry Of Judgment Without Admitting Or Denying The Allegations Of The Complaint
  • Joseph M. Laura Waived All Findings Of Fact And Conclusions Of Law
  • Joseph M. Laura Waived Any Right To Appeal From This Judgment
  • The Court Ordered And Adjudged That Joseph M. Laura Is Permanently Restrained And Enjoined From Violating Section 10(b) Of The Securities Exchange Act Of 1934 And Rule 10b-5 Promulgated Thereunder
  • The Court Ordered And Adjudged That The Foregoing Paragraph Also Binds Defendant’S Officers, Agents, Servants, Employees, And Attorneys Who Receive Actual Notice Of This Judgment
  • The Court Ordered And Adjudged That The Foregoing Paragraph Also Binds Other Persons In Active Concert Or Participation With Defendant Or With Anyone Described In (a)
  • The Court Ordered And Adjudged That Joseph M. Laura Is Permanently Restrained And Enjoined From Violating Section 17(a) Of The Securities Act In The Offer Or Sale Of Any Security
  • The Court Ordered And Adjudged That The Foregoing Paragraph Also Binds Defendant’S Officers, Agents, Servants, Employees, And Attorneys Who Receive Actual Notice Of This Judgment
  • The Court Ordered And Adjudged That The Foregoing Paragraph Also Binds Other Persons In Active Concert Or Participation With Defendant Or With Anyone Described In (a)
  • The Court Ordered And Adjudged That Joseph M. Laura Is Permanently Restrained And Enjoined From Violating Section 15(a) Of The Exchange Act
Text layers
Extracted body text (12,948c)
1
UNITED STATES DISTRICT COURT
E
ASTERN DISTRICT OF NEW YORK
SECURITIES AND EXCHANGE COMMISSION,
Plaintiff,
18-cv-5075 (HG)(VMS)
v.
JOSEPH M. LAURA,
ANTHONY R. SICHENZIO, and
WALTER GIL DE RUBIO,
Defendants.
J
UDGMENT AS TO DEFENDANT JOSEPH M. LAURA
The Securities and Exchange Commission having filed a Complaint and Defendant
Joseph M. Laura (“Defendant” or “Laura”) having entered a general appearance; consented to
the Court’s jurisdiction over Defendant and the subject matter of this action; been found liable by
the Court in its June 28, 2023 Memorandum and Order (DE 170) as to certain matters alleged in
the Complaint, specifically as to claim one for violations of Section 17(a)(2) of the Securities Act
of 1933 (the “Securities Act”) and as to claim seven; consented to entry of this Judgment without
admitting or denying the allegations of the Complaint (except as to jurisdiction and except as
otherwise provided herein in paragraph VI); waived all findings of fact and conclusions of law;
and waived any right to appeal from this Judgment:
I.
IT IS HEREBY ORDERED, ADJUDGED, AND DECREED that Defendant is
permanently restrained and enjoined from violating, directly or indirectly, Section 10(b) of the
Securities Exchange Act of 1934 (the “Exchange Act”) [15 U.S.C. § 78j(b)] and Rule 10b-5
promulgated thereunder [17 C.F.R. § 240.10b-5], by using any means or instrumentality of

2
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 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 17(a) of the Securities Act [15
U.S.C. § 77q(a)] in the offer or sale of any 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:
(a)to employ any device, scheme, or artifice to defraud;
(b)to obtain money or property by means of any untrue statement of a material fact
or any omission of a material fact necessary in order to make the statements

3
made, in light of the circumstances under which they were made, not misleading;
or
(c)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 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).
III.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant is
permanently restrained and enjoined from violating, directly or indirectly, Section 15(a) of the
Exchange Act [15 U.S.C. § 78o(a)], by using the mails or any means or instrumentality of
interstate commerce to effect any transaction in, or to induce or attempt to induce the purchase or
sale of, any security unless Defendant is registered or is associated with a broker-dealer that is
registered in accordance with Section 15(b) of the Exchange Act [15 U.S.C. § 78o(b)].
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 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 Laura shall

4
pay disgorgement of ill-gotten gains, prejudgment interest thereon, and a civil penalty 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)]. The Court shall determine the amounts of the disgorgement and
civil penalty upon motion of the Commission. Prejudgment interest shall be calculated from June
1, 2013, based on the rate of interest used by the Internal Revenue Service for the underpayment
of federal income tax as set forth in 26 U.S.C. § 6621(a)(2). In connection with the
Commission’s motion for disgorgement and/or civil penalties, and at any hearing held on such a
motion: (a) Laura will be precluded from arguing that he did not violate the federal securities
laws as alleged in the Complaint and found by the Court in its June 28, 2023 Memorandum and
Order (DE 170); (b) Laura may not challenge the validity of the Consent or this Judgment; (c)
solely for the purposes of such motion, the allegations of the Complaint shall be accepted as and
deemed true by the Court; and (d) the Court may determine the issues raised in the motion on the
basis of affidavits, declarations, excerpts of sworn deposition or investigative testimony, and
documentary evidence, without regard to the standards for summary judgment contained in Rule
56(c) of the Federal Rules of Civil Procedure. In connection with the Commission’s motion for
disgorgement and/or civil penalties, the parties may take discovery, including discovery from
appropriate non-parties.
V.
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.

1
UNITED STATES DISTRICT COURT
E
ASTERN DISTRICT OF NEW YORK
SECURITIES AND EXCHANGE COMMISSION,
Plaintiff,
18-cv-5075 (HG)(VMS)
v.
JOSEPH M. LAURA,
ANTHONY R. SICHENZIO, and
WALTER GIL DE RUBIO,
Defendants.
J
UDGMENT AS TO DEFENDANT ANTHONY R. SICHENZIO
The Securities and Exchange Commission having filed a Complaint and Defendant
Anthony R. Sichenzio (“Defendant” or “Sichenzio”) having entered a general appearance;
consented to the Court’s jurisdiction over Defendant and the subject matter of this action; been
found liable by the Court in its June 28, 2023 Memorandum and Order (DE 170) as to certain
matters alleged in the Complaint, specifically as to claim five; consented to entry of this
Judgment without admitting or denying the allegations of the Complaint (except as to
jurisdiction and except as otherwise provided herein in paragraph V); waived all findings of fact
and conclusions of law; and waived any right to appeal from this Judgment:
I.
IT IS HEREBY ORDERED, ADJUDGED, AND DECREED that Defendant is
permanently restrained and enjoined from violating, directly or indirectly, Section 10(b) of the
Securities Exchange Act of 1934 (the “Exchange Act”) [15 U.S.C. § 78j(b)] and Rule 10b-5
promulgated thereunder [17 C.F.R. § 240.10b-5], by using any means or instrumentality of

2
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 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 17(a) of the Securities Act of 1933
(the “Securities Act”) [15 U.S.C. § 77q(a)] in the offer or sale of any 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:
(a)to employ any device, scheme, or artifice to defraud;
(b)to obtain money or property by means of any untrue statement of a material fact
or any omission of a material fact necessary in order to make the statements

3
made, in light of the circumstances under which they were made, not misleading;
or
(c)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 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).
III.
IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Sichenzio
shall pay disgorgement of ill-gotten gains, prejudgment interest thereon, and a civil penalty
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)]. The Court shall determine the amounts of the
disgorgement and civil penalty upon motion of the Commission. Prejudgment interest shall be
calculated from June 1, 2013, based on the rate of interest used by the Internal Revenue Service
for the underpayment of federal income tax as set forth in 26 U.S.C. § 6621(a)(2). In connection
with the Commission’s motion for disgorgement and/or civil penalties, and at any hearing held
on such a motion: (a) Sichenzio will be precluded from arguing that he did not violate the federal
securities laws as alleged in the Complaint and found by the Court in its June 28, 2023
Memorandum and Order (DE 170); (b) Sichenzio may not challenge the validity of the Consent
or this Judgment; (c) solely for the purposes of such motion, the allegations of the Complaint
shall be accepted as and deemed true by the Court; and (d) the Court may determine the issues

4
raised in the motion on the basis of affidavits, declarations, excerpts of sworn deposition or
investigative testimony, and documentary evidence, without regard to the standards for summary
judgment contained in Rule 56(c) of the Federal Rules of Civil Procedure. In connection with the
Commission’s motion for disgorgement and/or civil penalties, the parties may take discovery,
including discovery from appropriate non-parties.
IV.
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.
V.
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
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).
VI.
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 Judgment.
VII.
T
here being no just reason for delay, pursuant to Rule 54(b) of the Federal Rules of Civil

5
Procedure, the Clerk is ordered to enter this Judgment forthwith and without further notice.
Dat
ed: ______________, 2023
____________________________________
HON. HECTOR GONZALEZ
UNITED STATES DISTRICT JUDGE

/s/ Hector Gonzalez
August 22
OCR text (15,338c · tika · 95% conf)
1 

UNITED STATES DISTRICT COURT 
EASTERN DISTRICT OF NEW YORK 

SECURITIES AND EXCHANGE COMMISSION, 

Plaintiff, 
18-cv-5075 (HG)(VMS)

v. 

JOSEPH M. LAURA, 
ANTHONY R. SICHENZIO, and 
WALTER GIL DE RUBIO, 

Defendants. 

JUDGMENT AS TO DEFENDANT JOSEPH M. LAURA

The Securities and Exchange Commission having filed a Complaint and Defendant 

Joseph M. Laura (“Defendant” or “Laura”) having entered a general appearance; consented to 

the Court’s jurisdiction over Defendant and the subject matter of this action; been found liable by 

the Court in its June 28, 2023 Memorandum and Order (DE 170) as to certain matters alleged in 

the Complaint, specifically as to claim one for violations of Section 17(a)(2) of the Securities Act 

of 1933 (the “Securities Act”) and as to claim seven; consented to entry of this Judgment without 

admitting or denying the allegations of the Complaint (except as to jurisdiction and except as 

otherwise provided herein in paragraph VI); waived all findings of fact and conclusions of law; 

and waived any right to appeal from this Judgment: 

I. 

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

permanently restrained and enjoined from violating, directly or indirectly, Section 10(b) of the 

Securities Exchange Act of 1934 (the “Exchange Act”) [15 U.S.C. § 78j(b)] and Rule 10b-5 

promulgated thereunder [17 C.F.R. § 240.10b-5], by using any means or instrumentality of 

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2 

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 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 17(a) of the Securities Act [15 

U.S.C. § 77q(a)] in the offer or sale of any 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: 

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

(b) to obtain money or property by means of any untrue statement of a material fact

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

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3 

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

or 

(c) 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 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). 

III. 

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

permanently restrained and enjoined from violating, directly or indirectly, Section 15(a) of the 

Exchange Act [15 U.S.C. § 78o(a)], by using the mails or any means or instrumentality of 

interstate commerce to effect any transaction in, or to induce or attempt to induce the purchase or 

sale of, any security unless Defendant is registered or is associated with a broker-dealer that is 

registered in accordance with Section 15(b) of the Exchange Act [15 U.S.C. § 78o(b)]. 

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 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 Laura shall 

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4 

pay disgorgement of ill-gotten gains, prejudgment interest thereon, and a civil penalty 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)]. The Court shall determine the amounts of the disgorgement and 

civil penalty upon motion of the Commission. Prejudgment interest shall be calculated from June 

1, 2013, based on the rate of interest used by the Internal Revenue Service for the underpayment 

of federal income tax as set forth in 26 U.S.C. § 6621(a)(2). In connection with the 

Commission’s motion for disgorgement and/or civil penalties, and at any hearing held on such a 

motion: (a) Laura will be precluded from arguing that he did not violate the federal securities 

laws as alleged in the Complaint and found by the Court in its June 28, 2023 Memorandum and 

Order (DE 170); (b) Laura may not challenge the validity of the Consent or this Judgment; (c) 

solely for the purposes of such motion, the allegations of the Complaint shall be accepted as and 

deemed true by the Court; and (d) the Court may determine the issues raised in the motion on the 

basis of affidavits, declarations, excerpts of sworn deposition or investigative testimony, and 

documentary evidence, without regard to the standards for summary judgment contained in Rule 

56(c) of the Federal Rules of Civil Procedure. In connection with the Commission’s motion for 

disgorgement and/or civil penalties, the parties may take discovery, including discovery from 

appropriate non-parties. 

V. 

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. 

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1 

UNITED STATES DISTRICT COURT 
EASTERN DISTRICT OF NEW YORK 

SECURITIES AND EXCHANGE COMMISSION, 

Plaintiff, 
18-cv-5075 (HG)(VMS)

v. 

JOSEPH M. LAURA, 
ANTHONY R. SICHENZIO, and 
WALTER GIL DE RUBIO, 

Defendants. 

JUDGMENT AS TO DEFENDANT ANTHONY R. SICHENZIO

The Securities and Exchange Commission having filed a Complaint and Defendant 

Anthony R. Sichenzio (“Defendant” or “Sichenzio”) having entered a general appearance; 

consented to the Court’s jurisdiction over Defendant and the subject matter of this action; been 

found liable by the Court in its June 28, 2023 Memorandum and Order (DE 170) as to certain 

matters alleged in the Complaint, specifically as to claim five; consented to entry of this 

Judgment without admitting or denying the allegations of the Complaint (except as to 

jurisdiction and except as otherwise provided herein in paragraph V); waived all findings of fact 

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

I. 

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

permanently restrained and enjoined from violating, directly or indirectly, Section 10(b) of the 

Securities Exchange Act of 1934 (the “Exchange Act”) [15 U.S.C. § 78j(b)] and Rule 10b-5 

promulgated thereunder [17 C.F.R. § 240.10b-5], by using any means or instrumentality of 

Case 1:18-cv-05075-HG-VMS   Document 175   Filed 08/22/23   Page 12 of 22 PageID #: 10096



2 

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 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 17(a) of the Securities Act of 1933 

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

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

(b) to obtain money or property by means of any untrue statement of a material fact

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

Case 1:18-cv-05075-HG-VMS   Document 175   Filed 08/22/23   Page 13 of 22 PageID #: 10097



3 

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

or 

(c) 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 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). 

III. 

IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Sichenzio 

shall pay disgorgement of ill-gotten gains, prejudgment interest thereon, and a civil penalty 

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)]. The Court shall determine the amounts of the 

disgorgement and civil penalty upon motion of the Commission. Prejudgment interest shall be 

calculated from June 1, 2013, based on the rate of interest used by the Internal Revenue Service 

for the underpayment of federal income tax as set forth in 26 U.S.C. § 6621(a)(2). In connection 

with the Commission’s motion for disgorgement and/or civil penalties, and at any hearing held 

on such a motion: (a) Sichenzio will be precluded from arguing that he did not violate the federal 

securities laws as alleged in the Complaint and found by the Court in its June 28, 2023 

Memorandum and Order (DE 170); (b) Sichenzio may not challenge the validity of the Consent 

or this Judgment; (c) solely for the purposes of such motion, the allegations of the Complaint 

shall be accepted as and deemed true by the Court; and (d) the Court may determine the issues 

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4 

raised in the motion on the basis of affidavits, declarations, excerpts of sworn deposition or 

investigative testimony, and documentary evidence, without regard to the standards for summary 

judgment contained in Rule 56(c) of the Federal Rules of Civil Procedure. In connection with the 

Commission’s motion for disgorgement and/or civil penalties, the parties may take discovery, 

including discovery from appropriate non-parties. 

IV. 

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. 

V. 

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 

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). 

VI. 

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 Judgment. 

VII. 

There being no just reason for delay, pursuant to Rule 54(b) of the Federal Rules of Civil 

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Procedure, the Clerk is ordered to enter this Judgment forthwith and without further notice. 

Dated: ______________, 2023 

____________________________________ 
HON. HECTOR GONZALEZ 
UNITED STATES DISTRICT JUDGE 

/s/ Hector Gonzalez

August 22

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