U.S. Securities and Exchange Commission
Litigation Release No. 21341 / December 17, 2009
Securities and Exchange Commission v. Pointer Worldwide, Ltd et al., Civil Action No. 09-CV-6162 (S.D.N.Y.)
DEFAULT JUDGMENT OF PERMANENT INJUNCTION AND OTHER RELIEF ENTERED AGAINST DEFENANTS POINTER WORLDWIDE, LTD. AND TATIANA BADMAEVA
The United States Securities and Exchange Commission announced that on December 11, 2009, the United States District Court for the Southern District of New York entered a Default Judgment of Permanent Injunction and Other Relief against Pointer Worldwide, Ltd. and Tatiana Badmaeva (the “Defendants”). The default judgment enjoins the Defendants from violating Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. The Default Judgment further orders the Defendants to pay disgorgement of the profits gained in the amount of $33,112.75 plus prejudgment interest and a civil penalty in the amount of $130,000.
Previously, the Commission filed a complaint against the Defendants alleging that they carried out a scheme to manipulate the market through online account intrusions. For more information on earlier actions in this case, see LR-21122 (July 9, 2009).
The SEC’s Office Investor Education and Assistance has previously issued an investor alert, available on the SEC’s website, which provides tips for avoiding becoming a victim of an online intrusion. See http://www.sec.gov/investor/pubs/onlinebrokerage.htm.
The Commission would like to thank the Financial Industry Regulatory Authority (FINRA) for its assistance in this matter.