SEC v RICHARD WARREN & ASSOCIATES, INC., ET. AL


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Keywords & Phrases

CaseNo: LR-15455, Defendant: Richard Warren & Associates, Inc., et. al., Plaintiff: SEC, State: CA California, UniqueCaseRef: SEC>LR-15455, Investors, Rwa, Commission, Citadel, Securities, Escrow Account, Investor Proceeds, United Kingdom, Temporary Restraining Order, Assets, Offering, Prime Bank, Debentures, Funds, Exchange Commission, Judge, Ingram, London, Freeze, Receiver, Repatriation, Payments, Profit, Sell Debentures, Named Relief Defendant, Citadel Enterprises, Fraud, Isle, Emergency Action, Liquidating , ContentID: 120242607

Case Documents

1997-08-21

SEC LITIGATION RELEASE
[ see first page and extracted highlights below ] ItemID: 105701

2 pages
TXT

Total Documents: 1 document , 2 pages

Price: $ 19.95

IVESLCD01 KGI0001

1 . SEC LITIGATION RELEASE

EXTRACTED KEY WORDS

RWA
COMMISSION
CITADEL
SECURITIES
ESCROW ACCOUNT
INVESTOR PROCEEDS
UNITED KINGDOM
TEMPORARY RESTRAINING ORDER
ASSETS
OFFERING
PRIME BANK
DEBENTURES
FUNDS
EXCHANGE COMMISSION
JUDGE
INGRAM
LONDON
FREEZE
RECEIVER
REPATRIATION
PAYMENTS
PROFIT
SELL DEBENTURES
NAMED RELIEF DEFENDANT
CITADEL ENTERPRISES
FRAUD
ISLE
EMERGENCY ACTION
LIQUIDATING








                   UNITED STATES SECURITIES AND EXCHANGE COMMISSION

     LITIGATION RELEASE NO. 15455/August 21, 1997

     SECURITIES AND EXCHANGE COMMISSION v. Richard Warren & Associates,
Inc.,
     et. al., Civil Action No. C-97-3050MMC (USDC ND CA/San Francisco
Div.)

          The Commission announced today that on August 19, 1997, Judge
William
     A. Ingram granted a temporary restraining order against Richard Warren
&
     Associates, Inc. (RWA) and Richard E. Warren (Warren), formerly located
in
     Fremont, California and now located in London, United Kingdom.  The
Order
     also granted a freeze of their assets, appointment of a receiver, an
     accounting and repatriation of assets.  The Commission's complaint
alleged
     that between February and October 1996, RWA and Warren raised a total
of
     approximately $8 million from at least 48 investors nationwide through
two
     fraudulent offerings of securities.  In the first offering, RWA and
Warren
     represented that investor proceeds would be used to trade "Prime Bank
     Debenture instruments" and would generate a return of 15 percent within
30
     days or 180 percent annually.  In the second offering, RWA and Warren
     represented that investor proceeds would be deposited in an escrow
account
     for trading debentures, would generate a return of approximately
1,600
     percent within 66 days, and would not be released from the escrow
account
     unless RWA provided a "Major World Bank Guarantee" for the funds.
The
     statements made to investors were false.  RWA and Warren
misrepresented,
     among other things, the existence of prime bank securities, the use of

SNIPPETS:

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

The Order also granted a freeze of their assets, appointment of a receiver, an accounting and

The Commission's complaint alleged that between February and October 1996, RWA and Warren

In the first offering, RWA and Warren represented that investor proceeds would be used to

In the second offering, RWA and Warren represented that investor proceeds would be deposited

RWA and Warren misrepresented, among other things, the existence of prime bank securities,

Warren used in excess of $2 million for payments to salesman and for personal use and used

The remaining funds were diverted to other entities and were apparently not used to buy or

In the temporary restraining order, Judge Ingram also ordered the named relief defendant,

Citadel, an Isle of Man entity headquartered in London, United Kingdom, received more than $2

The Commission requested the emergency action to prevent Warren, RWA and Citadel from


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