Broker/Dealer and Account Executive Fraud, Mismanagement and Misrepresentation Litigation and FINRA Arbitration Attorney, Russell L. Forkey, Esq.
SEC, Appellee v. W. Anthony Huff, Defendant-Appellant, and Sheri Huff and Midwest Merger Management, LLC, Relief Defendants-Appellants, United States Court of Appeals for the Eleventh Circuit, Appeal No. 11-10758 (January 3, 2012)
SEC v. W. Anthony Huff, et al., 08-CV-60315-Rosenbaum (S.D. FL)
Eleventh Circuit Court of Appeals Affirms the Court’s Findings and Remedies Imposed Against W. Anthony Huff
The United States Court of Appeals for the Eleventh Circuit has affirmed a federal magistrate’s findings that W. Anthony Huff violated the antifraud provisions of the federal securities laws by carrying out a fraudulent scheme that allowed Huff to unlawfully receive millions of dollars from a Fort Lauderdale professional employment company. In addition, the Eleventh Circuit affirmed the remedies the magistrate imposed.
On September 20, 2010 and reaffirmed on December 17, 2010, the Honorable Robin S. Rosenbaum, United States Magistrate Judge for the Southern District of Florida, found Huff liable for violating Sections 10(b) and 20(a) and Rule 10b-5 of the Securities Exchange Act of 1934 and Section 17(a) of the Securities Act of 1933, and aiding and abetting other violations of the federal securities laws in connection with Huff’s involvement with Certified Services, Inc., formerly located in Fort Lauderdale. The magistrate ordered Huff to pay disgorgement of more than $10 million, representing illegally obtained monies, prejudgment interest of approximately $3 million, and a civil penalty of $600,000. The opinion followed a seven-day bench trial in February 2010.
The magistrate also enjoined Huff from further violating certain provisions of the federal securities laws and rules and barred him from serving as an officer or director of any publicly traded company. In addition to the disgorgement and penalty order against Huff, the Court ordered Relief Defendants Sheri Huff to disgorge $3.8 million and Midwest Merger Management, LLC to disgorge more than $10 million, representing illegally obtained monies, and held Huff jointly and severally liable with Sheri Huff and Midwest.