MVBY News ENFORCEMENT PROCEEDINGS - SEC Obtains Judgment against Texas Stock Promoter Jason Wynn
Tuesday, October 18, 2011 6:18 PMMessage body
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News for 'MVBY' - (ENFORCEMENT PROCEEDINGS - SEC Obtains Judgment against Texas Stock Promoter Jason Wynn)
Oct 18, 2011 (SECURITIES AND EXCHANGE COMMISSION RELEASE/ContentWorks via
COMTEX) -- The Securities and Exchange Commission announced today that on Oct.
14, 2011, the U.S. District Court for the Northern District of Texas entered a
judgment against Jason Wynn, of Plano, Texas, and two companies under his
control " Wynn Holdings LLC and Wynn Industries LLC. The Commission's amended
complaint alleged that Wynn and his companies violated the antifraud and
registration provisions of the federal securities laws through a scheme to pump
and dump the stock of four issuers: Beverage Creations, Inc., My Vintage Baby,
Inc., ConnectAJet.com, Inc. and Alchemy Creative, Inc.
The Commission alleged that Jason Wynn and his companies (1) purchased tens of
millions of shares directly from the issuers for pennies per share, (2) touted
the stock to investors through a nationwide marketing campaign, and (3)
immediately dumped their shares into the public market at grossly inflated
prices when no registration statement was filed or in effect. Wynn created
artificial demand for the stocks through various ad campaigns, emails and
misleading promotional mailers. While the promotional mailers disclosed that the
Wynn companies received the stock being touted, they did not disclose that Wynn
and his companies intended to sell that stock into the artificially inflated
market created by the promotions.
The judgment permanently enjoins Wynn, Wynn Holdings, LLC and Wynn Industries,
LLC from violating Section 5 of the Securities Act of 1933 and Section 10(b) of
the Securities Exchange Act of 1934 and Rule 10b-5 thereunder. The judgment also
bars Wynn and his companies from participating in any penny stock offerings and
provides that they will be ordered to pay disgorgement and civil penalties
determined by the district court at a later date. Wynn and his companies
consented to the entry of the judgment without admitting or denying the
allegations in the Commission's amended complaint.
Previously, on January 3, 2011, the district court entered a judgment against
stock promoter Carlton Fleming and certain entities under his control " Regus
Investment Group LLC and Thomas Wade Investments, LLC. The Commission's case
against the remaining defendants " Ryan Reynolds and companies under his control
" is pending. The Commission acknowledges the assistance of the Financial
Industry Regulatory Authority (FINRA) in this matter. [SEC v. Ryan M. Reynolds,
et al., Case No. 3-08 CV-438-B (N.D. Tex.)] (LR-22128)
Copyright (C) 2011 Federal Information & News Dispatch, Inc.
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Source: Comtex Wall Street News
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