1. Trader Barred for Role at Boiler-Room.
2. HF Adviser Bet Big, Lost Big.

    1. Trader Barred for Role at Boiler-Room.   A trader associated with broker-dealer Sterling Foster & Company from 1994 to 1997, and others, defrauded investors of at least $75 million by manipulating the prices of 6 companies' securities sold through boiler-room sales practices at Sterling Foster.  For his part in artificially inflating stock prices, the trader was barred from the industry, and is subject to future disgorgement and arbitration awards.    [C-I Note:  Amazingly, this case goes back to 2000 or so, when the firm and president Adam Lieberman each settled SEC charges - they bargained down their disgorgement to around $11mn - well under the $75mn the firm is alleged to have 'stolen'.]    [SEC '34Act Rel. 62840, 9/3]

    2. HF Adviser Bet Big, Lost Big..   Hedge fund adviser Thompson Consulting and its 3 principals - Thompson, Condie, Warner - were alleged to have made undisclosed subprime and other high-risk investments which nearly wiped out total assets of 2 hedge funds managed by the adviser.  The firm, also charged with deviating from its stated investment policy - which led to those losses, is liable for disgorgement of $400K.   [SEC Litigation Rel. 21628, 8/18]