SEC v JOSEPH P. GALLUZZI - Legal Case Documents


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SEC v JOSEPH P. GALLUZZI

Keywords & Phrases

CaseNo: 34-42826, CourtName: OCTOBER 20, 1999, AFTER THE COURT GRANTED THE COMMISSIONS MOTION FOR, Defendant: Joseph P. Galluzzi, Plaintiff: SEC, State: NJ New Jersey, UniqueCaseRef: SEC>34-42826, Galluzzi, Kickbacks, Essex County, Securities, Bond, Administrative Proceeding, Order Instituting, Injunctive Action, Judgement, Age Paid Galluzzi, Paid Galluzzi, Selection, Lead Underwriter, Securities Exchange Act, Commission, Joseph, Criminal Conviction, Fraud, Ffsg, Connection, Jersey, Irvington, Relating, Adjustment Bond, Permanently Enjoined Galluzzi, Violating, Prison, Pay Restitution, Allegations, Remedial Sanctions , ContentID: 120244627

Case Documents

2000-05-25

SEC ADMINISTRATIVE PROCEEDING
[ see first page and extracted highlights below ] ItemID: 111361

2 pages
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Total Documents: 1 document , 2 pages

Price: $ 19.95

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1 . SEC ADMINISTRATIVE PROCEEDING

EXTRACTED KEY WORDS

KICKBACKS
ESSEX COUNTY
SECURITIES
BOND
ADMINISTRATIVE PROCEEDING
ORDER INSTITUTING
INJUNCTIVE ACTION
JUDGEMENT
AGE PAID GALLUZZI
PAID GALLUZZI
SELECTION
LEAD UNDERWRITER
SECURITIES EXCHANGE ACT
COMMISSION
JOSEPH
CRIMINAL CONVICTION
FRAUD
FFSG
CONNECTION
JERSEY
IRVINGTON
RELATING
ADJUSTMENT BOND
PERMANENTLY ENJOINED GALLUZZI
VIOLATING
PRISON
PAY RESTITUTION
ALLEGATIONS
REMEDIAL SANCTIONS

   Securities Exchange Act of 1934
   Release No. 42826 / May 25, 2000

   Administrative Proceeding
   File No. 3-10209

   COMMISSION ISSUES ORDER INSTITUTING PROCEEDINGS AGAINST JOSEPH P.
   GALLUZZI

   The Commission announced today that it issued an Order Instituting
   Public Administrative Proceedings against Joseph P. Galluzzi to
   determine what remedial action, if any, should be taken against him
   based upon the entry of a final judgment in, Civ. No. 97-96 (D.N.J.
   October 20, 1999) ("injunctive action") and his criminal conviction in
   , Crim. No. 96-640 (WHW)(D.N.J.), for numerous counts of mail fraud,
   wire fraud, and public corruption.

   The complaint alleged that between October 1986 and December 1993,
   Galluzzi received more than $250,000 in undisclosed kickbacks from
   First Fidelity Securities Group ("FFSG") and A.G. Edwards & Sons, Inc.
   ("AGE"). FFSG and AGE paid Galluzzi these kickbacks in connection with
   their selection as lead underwriter for issuances of municipal
   securities by Essex County, New Jersey, the Essex County Improvement
   Authority ("ECIA") and the Township of Irvington, New Jersey. FFSG
   paid Galluzzi at least $176,296.16 in kickbacks between April 1987 and
   August 1992 relating to its selection as lead underwriter for Essex
   County's March 1987, January 1989 and June 1989 bond issues, and for
   Irvington's 1991 fiscal year adjustment bond anticipation notes and
   Irvington's 1992 fiscal year adjustment bonds. Pursuant to a sham
   finder's agreement between Galluzzi and AGE, between March 1991 and
   December 1993, AGE paid Galluzzi at least $82,085.82 in kickbacks
   relating to AGE's selection as lead underwriter on the ECIA's August
   1990 $65 million bond issue.

   While he was accepting the kickbacks Galluzzi served as Treasurer to
   Essex County and as a financial consultant to Irvington, ECIA and the
   Essex County Board of Chosen Freeholders.

   The final judgment in the injunctive action, which was entered on
   October 20, 1999, after the court granted the Commission's motion for
   summary judgment, permanently enjoined Galluzzi from violating Section
   10(b) of the Securities Exchange Act of 1934 and Rule 10b-5. On
   September 10, 1998, in connection with his criminal conviction,
   Galluzzi was sentenced to 90 months in prison and ordered to pay
   restitution of $350,000.

   A hearing will be scheduled to determine whether the allegations in
   the Order are true and what, if any, remedial sanctions against

SNIPPETS:

Administrative Proceeding

The Commission announced today that it issued an Order Instituting Public Administrative

No. 96-640, for numerous counts of mail fraud, wire fraud, and public corruption.

The complaint alleged that between October 1986 and December 1993, Galluzzi received more

FFSG and AGE paid Galluzzi these kickbacks in connection with their selection as lead

FFSG paid Galluzzi at least $176,296.16 in kickbacks between April 1987 and August 1992

Pursuant to a sham finder's agreement between Galluzzi and AGE, between March 1991 and

The final judgment in the injunctive action, which was entered on October 20, 1999, after the

September 10, 1998, in connection with his criminal conviction, Galluzzi was sentenced to 90

A hearing will be scheduled to determine whether the allegations in the Order are true and


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