Securities and Exchange Commission
Litigation Release No. 17173 / October 4, 2001
SEC Alleges Fraud against Unregistered Broker-Dealer Operating in Boca
Raton, Florida in Connection with Securities Offering
Securities And Exchange Commission v. Global Asset Partners, Ltd., Global
Services Group, LLC, Global Internet Fund Group, Inc., William L. Haynes and
Relief Defendant, Centurion International, LLC, Case No.
01-8862-CIV-MIDDLEBROOKS (S.D. Fla., filed Sept. 28, 2001).
The Securities and Exchange Commission ("SEC") announced that on
October 1, 2001, it obtained permanent injunctive relief in connection
with an alleged fraudulent securities offering conducted in Boca
Raton, Florida by Global Asset Partners, Ltd., Global Services Group,
LLC, and Global Internet Fund Group, Inc. ("Global"). Among other
things, the SEC's complaint, filed on September 28, 2001, alleges that
since at least May 1999, Global, through a network of sales agents,
made material misrepresentations to investors and prospective
investors located worldwide to induce them to purchase so-called
pre-initial-public-offering ("pre-IPO") stock and exchange-traded
securities. Specifically, the SEC's complaint alleges that Global
misrepresented when companies could be expected to go public, the
price the pre-IPO stock would trade at upon becoming public, the
method by which investor accounts were maintained and its track record
concerning its operations and expertise. The complaint further alleges
that Global and the named individual defendant, William L. Haynes
("Haynes"), raised at least $7 million from defrauded investors.
Simultaneously with the filing of the complaint, Global, Haynes and
Centurion, without admitting or denying the allegations in the
complaint, consented to all of the relief requested by the SEC with
only the amount of disgorgement and penalties to be determined.
Thereafter, the Honorable Donald M. Middlebrooks of the United States
District Court of the Southern District of Florida entered an order
permanently restraining and enjoining Global and Haynes from future
violations of the registration and anti-fraud provisions of the
federal securities laws. The Court also entered orders freezing
Global's and Haynes' assets, freezing the assets of relief defendant
Centurion International, LLC ("Centurion"), appointing a Receiver over
Global, and granting other emergency relief. The SEC's complaint seeks
disgorgement from Global, Haynes and Centurion so that funds may be
returned to the defrauded investors.
According to the SEC's complaint, filed on September 28, 2001, the
defendants have fraudulently raised at least $7 million from at least
300 investors located in the U.S. and abroad. Among other things, the
SNIPPETS:
Securities and Exchange Commission
SEC Alleges Fraud against Unregistered Broker-Dealer Operating in Boca Raton, Florida in
Securities And Exchange Commission v. Global Asset Partners, Ltd., Global Services Group,
The Securities and Exchange Commission announced that on October 1, 2001, it obtained
Among other things, the SEC's complaint, filed on September 28, 2001, alleges that since at
Specifically, the SEC's complaint alleges that Global misrepresented when companies could be
The complaint further alleges that Global and the named individual defendant, William L.
Simultaneously with the filing of the complaint, Global, Haynes and Centurion, without
the Honorable Donald M. Middlebrooks of the United States District Court of the Southern
The Court also entered orders freezing Global's and Haynes' assets, freezing the assets of
According to the SEC's complaint, filed on September 28, 2001, the defendants have
Upon the SEC's motion, the Court appointed Jane W. Moscowitz, a partner in the law firm of
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