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UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Litigation Release No. 14839 / March 7, 1996
SECURITIES AND EXCHANGE COMMISSION v. ROBERT M. SIMPSON, Case No.
95-995-CIV-ORL-19 (M.D. Fla.)
The Securities and Exchange Commission ("Commission") announced
that on January 23, 1996, the United States District Court for
the Middle District of Florida entered a Final Judgment of
Permanent Injunction ("Final Judgment") against Robert M. Simpson
("Simpson"), of Brevard County, Florida, a registered
representative formerly associated with a registered broker-
dealer. Simpson operated under the name of The Unlimited
Financial Center, Inc., a dissolved Florida corporation formerly
located in Cocoa Beach, Florida.
The Final Judgment permanently enjoins Simpson from future
violations of the antifraud provisions of the federal securities
laws. In addition, the Final Judgment orders Simpson to disgorge
$353,746, representing his ill-gotten gains, plus pre-judgment
interest. Without admitting or denying the allegations in the
complaint, Simpson consented to the entry of the Final Judgment
against him whereby, disgorgement is waived and civil penalties
are not imposed, based upon Simpson's demonstrated financial
inability to pay.
The Commissions's complaint, filed on September 29, 1995, alleged
that from between July 1990 and July 1992, Simpson raised funds
from ten mostly elderly investors. The Commission's complaint
alleged that Simpson made numerous misrepresentations and
omissions of material facts pertaining to the use of investor
funds and the existence of the investments. The complaint
further alleged that Simpson raised funds from investors by
falsely telling them that their funds would be used to purchase
securities, when, in fact, the investors' funds were
misappropriated. Simpson allegedly concealed his
misappropriation by falsely telling investors that their funds
would be used for investment purposes, when, in fact, Simpson was
operating a Ponzi scheme.
In addition, on March 6, 1996, the Commission entered an Order
Instituting Public Proceedings Pursuant to Sections 15(b) and
19(h) of the Securities Exchange Act of 1934, Making Findings and
Imposing Remedial Sanctions ("Order") against Simpson based on
SNIPPETS:
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
SECURITIES AND EXCHANGE COMMISSION v. ROBERT M. SIMPSON,
The Securities and Exchange Commission announced that on January 23, 1996, the United States
The Final Judgment permanently enjoins Simpson from future violations of the antifraud
In addition, the Final Judgment orders Simpson to disgorge $353,746, representing his
Without admitting or denying the allegations in the complaint, Simpson consented to the entry
The Commissions's complaint, filed on September 29, 1995, alleged that from between July 1990
Simpson allegedly concealed his misappropriation by falsely telling investors that their
In addition, on March 6, 1996, the Commission entered an Order Instituting Public Proceedings
The Order finds that on January 23, 1996, a final judgment of permanent injunction and other
dealer, municipal securities dealer, investment company or investment adviser.
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