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SEC v ALPHA TELCOM, INC., et al Click to find out why . . .



Keywords & Phrases
CaseNo: LR-17408, CourtName: DEFENDANT PAUL S. RUBERA. ON FEBRUARY 8, 2002, THE COURT ALSO ENTERED, Defendant: Alpha Telcom, Inc., American Telecommunications Company, Inc., Strategic Partnership Alliance, LLC, Spa Marketing, LLC, Paul S. Rubera, Robert A. McDonald, Ross S. Rambach and Mark E. Kennison, Plaintiff: SEC, State: OR Oregon, UniqueCaseRef: SEC>LR-17408, Judgement, Securities, Act, Investors, Exchange Act, Alpha, Pay, Spa, Permanent, Commission, Spa Marketing, Permanently Enjoins, Violating, Pay Disgorgement, Civil Penalty, Llc, Rubera, Ross Rambach, Mark Kennison, District, Relief, Prejudgment, Thereunder, Receiver, United States, Oregon, Imposing, Consent , ContentID: 120252329

Case Documents
1 2002-03-12 SEC LITIGATION RELEASE
[ see first page and extracted highlights below  ] ItemID: 127357
2 pages
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Total Documents: 1 document , 2 pages
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1 . SEC LITIGATION RELEASE

EXTRACTED KEY WORDS
SECURITIES
ACT
INVESTORS
DEFENDANTS
EXCHANGE ACT
ALPHA
PAY
SPA
PERMANENT
COURT
COMMISSION
SPA MARKETING
PERMANENTLY ENJOINS
VIOLATING
PAY DISGORGEMENT
CIVIL PENALTY
LLC
RUBERA
ROSS RAMBACH
MARK KENNISON
DISTRICT
RELIEF
PREJUDGMENT
THEREUNDER
RECEIVER
UNITED STATES
OREGON
IMPOSING
CONSENT
U.S. SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 17408 / March 12, 2002

   SECURITIES AND EXCHANGE COMMISSION v. ALPHA TELCOM, INC., AMERICAN
   TELECOMMUNICATIONS COMPANY, INC., STRATEGIC PARTNERSHIP ALLIANCE, LLC,
   SPA MARKETING, LLC, PAUL S. RUBERA, ROBERT A. MCDONALD, ROSS S.
   RAMBACH and MARK E. KENNISON (D.ORE.) (CV-01-1283 PA)

   The United States Securities and Exchange Commission ("Commission")
   announced that, on March 1, 2002, the Honorable Owen M. Panner, United
   States District Judge for the District of Oregon, entered a final
   judgment imposing a permanent injunction and other relief against
   defendant Paul S. Rubera. On February 8, 2002, the Court also entered
   a final judgment by consent against defendant Alpha Telcom, Inc.
   ("Alpha") imposing a permanent injunction and other relief. This case
   involved the sale of approximately $135 million of investments in pay
   telephones where new investors' funds were secretly used to pay
   purported returns to existing investors.

   The final judgment against Paul Rubera permanently enjoins him from
   violating the securities registration provisions of Sections 5(a) and
   5(c) of the Securities Act of 1933 ("Securities Act") and orders that
   he pay disgorgement of $3,750,707.66 and prejudgment interest of
   $416,976.97. The Court granted judgment in favor of Rubera on the
   Commission's fraud claims under Section 17(a) of the Securities Act
   and Section 10(b) of the Securities Exchange Act of 1934 ("Exchange
   Act") and Rule 10b-5 thereunder, and declined to assess a civil
   penalty.

   The final judgment against Alpha enjoins Alpha from violating Sections
   5(a), 5(c) and 17(a) of the Securities Act, as well as Section 10(b)
   of the Exchange Act and Rule 10b-5 thereunder. The final judgment
   against Alpha also names Thomas F. Lennon, who had previously been
   named the Preliminary Receiver over Alpha, as the Permanent Receiver,
   orders Alpha to pay disgorgement pursuant to a plan of distribution to
   be approved by the Commission, the Court, and the Bankruptcy Court in
   the District of Oregon where Alpha's bankruptcy is being adjudicated
   and administered, and reserves the Commission's right to seek civil
   penalties against Alpha in the event the Permanent Receiver collects
   monies and assets exceeding the net amount owed to investors. On
   November 5, 2001, the Court entered final judgments against the other
   entity defendants, American Telecommunications Company, Inc. ("ATC"),
   Strategic Partnership Alliance, LLC ("SPA"), and SPA Marketing, LLC
   ("SPA Marketing"), granting the same relief and, in addition,
   enjoining SPA and SPA Marketing from violating the broker-dealer
   registration provisions of Section 15(a) of the Exchange Act. In each
   instance, the Receiver, on behalf of the entity defendant, consented
SNIPPETS:
  • U.S. SECURITIES AND EXCHANGE COMMISSION
  • The United States Securities and Exchange Commission announced that, on March 1, 2002, the
  • On February 8, 2002, the Court also entered a final judgment by consent against defendant
  • This case involved the sale of approximately $135 million of investments in pay telephones
  • The final judgment against Paul Rubera permanently enjoins him from violating the securities
  • The Court granted judgment in favor of Rubera on the Commission's fraud claims under Section
  • The final judgment against Alpha also names Thomas F. Lennon, who had previously been named collects monies and assets exceeding the net amount owed to investors.
  • On November 5, 2001, the Court entered final judgments against the other entity defendants,
  • On November 2, 2001, the Court entered a default judgment against defendants Ross Rambach and
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