Monday, June 25, 2007
The SEC announced today that on June 21, 2007, it filed a motion seeking appointment of a receiver to operate Universal Express, Inc.The SEC's request for relief follows a permanent injunction entered earlier this year against the company prohibiting it from future violations of the securities registration and anti-fraud provisions of the federal securities laws. On February 21, 2007, the Southern District of New York entered an Opinion and Order determining that Universal Express had issued over 500 million shares of common stock between April 2001 and January 2004 without filing registration statements for those transactions. Additionally, the Court found that Universal Express issued several false and misleading press releases, and ordered the company to pay over $9 million in disgorgement and an additional $9 million in civil penalties. A Final Judgment against Universal Express, Richard Altomare and Chris G. Gunderson was entered on April 2, 2007. Contrary to the provisions in the Final Judgment, the company has not paid the disgorgement and civil penalties ordered. Universal Express, Richard Altomare, and Chris Gunderson filed on June 2, 2007 a notice of appeal challenging the District Court's decision. No hearing date on the SEC's motion for appointment of a receiver has been set.