DNA Brands Inc (DNAX)

[just_an_ant]

Charles Morgan Securities past record on some things (fwiw)

http://www.ct.gov/dob/cwp/view.asp?a=2246&q=383992

So ordered at Hartford, Connecticut
this 12th day of June 2007.

WHEREAS, as a result of the investigation, the Division obtained evidence that 1) on April 27, 2004, the NASD fined Taboada $25,000, directed that he pay $7,162.17 in costs and suspended him from association with any NASD member in any capacity for six months based upon claims that Taboada violated NASD Rules 2110, 2210(d)(1)(A) and 2210(d)(1)(B) by authoring a research report that made exaggerated, unwarranted, and misleading statements and claims, failing to disclose material facts, and failing to disclose important risks about a company; failing to conduct an adequate inquiry into the activities of the company and not having a reasonable basis for statements made within the research report (Disciplinary Proceeding No. CAF020022).

WHEREAS, on January 3, 2007, Charles Morgan amended its broker-dealer application to add Barry Morton Ferrari (CRD number 848024) (“Ferrari”) as a control person and Chief Compliance Officer of the firm;

WHEREAS, the Division obtained evidence that on September 7, 2001, the NASD censured Ferrari and fined him $5,000 based upon claims that Ferrari violated NASD Rules 2110 and 3070 by failing to report the following matters to the NASD: 1) customer complaints received by his employing firm; 2) that his employing firm had taken disciplinary action that led to the termination of registered representatives; and 3) his employing firm’s $30,000 settlement with a public customer (Acceptance, Waiver & Consent No. C10010116);

http://www.ct.gov/dob/cwp/view.asp?a=2246&q=478678

So ordered at Hartford, Connecticut
this 5th day of May 2011.

WHEREAS, Charles Morgan, through its execution of this Consent Order, accepts and consents to the entry of the following Findings by the Commissioner:
1. The entry of this Consent Order is appropriate, in the public interest and consistent with the purposes fairly intended by the policy and provisions of the Act;
2. From October 2008 through March 2010, Charles Morgan violated Section 36b-16 of the Act by offering and selling a private offering pursuant to Rule 506 of Regulation D of the Securities Act of 1933, to a Connecticut resident without making the required notice filing and paying the required fee pursuant to Section 36b-21(e) of the Act;
3. Charles Morgan's failure to file the private offering notice and pay the required fee pursuant to Section 36b-21(e) of the Act is a violation of the Commissioner's 2007 Order; and
4. In contravention of Section 36b-31-6f(b) of the Regulations, Charles Morgan failed to establish, enforce, and maintain a system for supervising the activities of its agents that was reasonably designed to achieve compliance with applicable securities laws and regulations;