SECURITIES AND EXCHANGE COMMISSION
LITIGATION RELEASE NO. 16640 / July 31, 2000
SEC v. John R. Manion, Rocco J. Anselmo, James L. Rammelt, Ivan Kron,
Donald S. Italia and William E. Sklar, Civil Action No. CIV 99-1103
PHX (ROS) (D. Ariz.).
The Securities and Exchange Commission ("Commission") announced today
that the United Sates District Court for the District of Arizona
entered a Final Judgment of Permanent Injunction and Other Relief
("Final Judgment") against John R. Manion ("Manion") on July 21, 2000.
The Final Judgment, entered pursuant to Manion's consent and without
admitting or denying the allegations contained in the Commission's
Complaint, enjoins Manion from future violations of the antifraud
provisions of the federal securities laws. Manion is also required to
pay $40,185.91 in disgorgement, prejudgment interest and civil
penalties.
The Commission's action was filed on June 22, 1999, in the United
States District Court for the District of Arizona, against six
defendants for insider trading in the stock of Bio-Dental Technologies
Corp. ("Bio-Dental") prior to the June 3, 1996 announcement that Zila,
Inc. ("Zila") would acquire Bio-Dental. Named as defendants were
Manion, Rocco J. Anselmo ("Anselmo"), James L. Rammelt ("Rammelt"),
Ivan Kron ("Kron"), Donald S. Italia ("Italia") and William E. Sklar
("Sklar"). Simultaneous with the filing of the Complaint, five of the
defendants, Anselmo, Rammelt, Kron, Italia and Sklar, without
admitting or denying the allegations contained in the Complaint,
consented to the entry of judgments against them. The judgments
permanently enjoined them from future antifraud violations and ordered
them to pay a total of $250,286 in disgorgement, prejudgment interest
and civil penalties.
The Complaint alleged with regard to Manion that, in connection with
Manion's providing a fairness opinion to Zila regarding the
acquisition, he obtained the terms of the proposed acquisition and
Bio-Dental financial information. Days after providing a favorable
opinion to Zila on the Bio-Dental acquisition, Manion purchased 13,000
Bio-Dental shares. The Complaint further alleged that by engaging in
insider trading in the securities of Bio-Dental, Manion violated
Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5
thereunder.
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Modified 08/02/2000
SNIPPETS:
SEC v. John R. Manion, Rocco J. Anselmo, James L. Rammelt, Ivan Kron, Donald S. Italia and
The Securities and Exchange Commission announced today that the United Sates District Court
The Final Judgment, entered pursuant to Manion's consent and without admitting or denying the
The Commission's action was filed on June 22, 1999, in the United States District Court for
The judgments permanently enjoined them from future antifraud violations and ordered them to
The Complaint alleged with regard to Manion that, in connection with Manion's providing a
The Complaint further alleged that by engaging in insider trading in the securities of
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