SUMMARY OF RECENT ENFORCEMENT ACTIONS TAKEN

BY THE OHIO DEPARTMENT OF COMMERCE’S DIVISION OF SECURITIES

 

 

At the request of media representatives, the Ohio Department of Commerce’s Division of Securities releases a summary list of Division Orders and enforcement actions recently brought by the Division’s Enforcement Section.

 

Before reporting information based on this INFORMATION RELEASE, the Department suggests that reporters request additional detail as to the nature of the Division Order or enforcement action.

 

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For more information, please contact Dennis Ginty at (614) 644-9564 or Bill Teets at (614) 644-7187.

 

 

 

**INFORMATION RELEASE**

October 1 through October 31, 2001

ENFORCEMENT ADMINISTRATIVE ACTIONS

 

Order No.	Name of Entity	Date	Type of Order
01-269	World Vision Entertainment Inc. A. Michael Jaillet Jamie Piromalli 417 Whooping Loop Suite 1737 Altamonte Springs, FL  32701	10/1/01	Cease and Desist Order
01-270	Alan Earl Morris CRD No. 340356 2272 Wason Road Sarasota, FL  34231	10/2/01	Termination of Order 01-230
01-271	Thomas Henry Hanley CRD No. 2959388 40 East 94th Street New York, NY  10128	10/2/01	Termination of Order 01-257
01-272	Vincent Agoglia CRD No. 1757692 1 North Equestrian Court Hauppauge, NY  11788	10/2/01	Termination of Order 01-253
01-273	David James Ledoux CRD No. 2513636 3114 West Buena Vista Drive Margate, FL  33603	10/2/01	Termination of Order 01-259
01-274	Bud Clark CRD No. 1943274 19 Bay Road Huntington Bay, NY  11743	10/2/01	Termination of Order 01-248
01-275	Konstantin Tokar CRD No. 2853251 4817 Bedford Avenue Apt. 3B Brooklyn, NY  11235	10/2/01	Termination of Order 01-252
01-276	Curtiss Brian Parker CRD No. 1357400 1150 Silverado Street #113 LaJolla, CA  92037	10/2/01	Termination of Order 01-246
01-277	Gabriel Kairouz CRD No. 1134146 440 North Wabash #706 Chicago, IL  60611	10/2/01	Termination of Order 01-256
01-278	Brian William Spencer CRD No. 2262929 3556 Creekwood Drive #12 Lexington, KY  40502	10/2/01	Termination of Order 01-220
01-279	Connect One Telcom Corporation 258 S.E. 6th Avenue Suite 4 Delray Beach, FL  33483	10/10/01	Notice of Opportunity for Hearing
01-280	National Communication Marketing Inc. Communications Marketing Associates Inc. Thomas E. Murray, President 621 N.W. 53rd Street Suite 355 Boca Raton, FL  33487	10/10/01	Notice of Opportunity for Hearing
01-281	Theresa Stencil CRD No. 1215453 601 Coventry Place Amherst, OH  44001	10/19/01	Suspension of Ohio Securities Salesperson License; Notice of Intent to Revoke Ohio Securities Salesperson License; Notice of Opportunity for Hearing
01-282	Richard Kentner Defreez CRD No. 1947797 2901 Leawood Drive Anchorage, AK  99515	10/24/01	Termination of Order 01-254
01-283	Meyer H. Berk CRD No. 850023 4234 Noeline Avenue Encino, CA  91436	10/25/01	Notice of Intent to Deny Application for Securities Salesperson License; Notice of Opportunity for Hearing
01-284	Imtek Funding Corporation Beneficial Assistance 8003 Corporate Drive Suite C Baltimore, MD  21236	10/26/01	Notice of Opportunity for Hearing
01-285	Accelerated Benefits Corporation 12 Greenway Plaza Suite 1127 Houston, TX  77046	10/29/01	Notice of Opportunity for Hearing
01-286	Ronald S. Richards CRD No. 265285 1278 Ole Henderson Square Columbus, OH  43220	10/30/01	Cease and Desist Order
01-287	OMNE SRL, Inc. 116 John Street Suite 604 New York, NY  10036	10/30/01	Notice of Opportunity for Hearing

 

Criminal Activity

 

 

Kenneth E. Bailey, Jr. was indicted on October 12, 2001, by a Fairfield County Grand Jury on 58 felony counts associated with his running of Trendsetter Investments, Ltd. ("Trendsetter").  The indictment included the following violations: selling unregistered securities, making false representations in the sale of securities, securities fraud, issuing false statements as to the value of securities, aggravated and grand theft, passing bad checks, and theft from an elderly person.  Bailey was the general partner and organizer of Trendsetter.  He sold limited partnership interests to approximately 90 investors for a total of $2.5 million from July 1998 through early 2001.  He made numerous misrepresentations to investors which induced them to invest and failed to disclose to later investors that the limited partnership was losing large amounts of money every month while reflecting large returns on limited partner monthly statements.  Financial records also reflect the misappropriation of investor money. 

 

Jackson Melvin Johnson was sentenced in Montgomery County on October 17, 2001, to 10 weekends in jail and community service and was ordered to pay restitution to all victims at the rate of $967.00 per month.  A Bill of Information had been issued on October 8, 1998, against Johnson for selling promissory notes to investors to finance Canyon Investment Association, a company that purchased and rehabilitated rental property in Dayton, Ohio.

 

As part of a plea agreement, on November 1, 2001, Anthony Thomas Newman entered a plea of no contest to two counts of attempted unlicensed sales of securities in Lake County Common Pleas Court.  Judge Martin Parks found Newman guilty on the two counts and ordered Newman to pay $40,000.00 in restitution to investors, which was paid on November 1, 2001.  Newman, an insurance agent, sold high-risk promissory notes of First Lenders Indemnity Corporation to elderly people while he was unlicensed to sell securities.

 

On October 18, 2001, Marsha Pawlowski Koerber and Monica J. Reiter were charged with helping Andrew Paul Bodnar defraud hundreds of investors out of as much as $41 million.  Koerber, Bodnar’s former office manager, was charged with conspiracy, securities fraud, mail fraud, and tax evasion.  Reiter, Koerber’s sister and former administrative assistant in Bodnar’s office, was charged with conspiracy, securities fraud, and mail fraud. 

 

On November 5, 2001, Gregory James Best was indicted in U.S. District Court in Cleveland on charges of conspiracy, securities fraud, and mail fraud.  Best was a friend and former business associate of Andrew Paul Bodnar that took part in a scheme to defraud hundreds of people out of millions of dollars.  The Division barred Best and his company, Laurex Ltd., from selling securities in Ohio in 1998.