 UNITED
STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.
Litigation Release No. 17187 / October 15, 2001
SEC
V. MARK STEVEN SNADER, D/B/A E-HIGHYIELDS.COM
AND THE HIGH YIELD CLUB, (U.S. D.C., Northern
District of Texas, Dallas Division, Civil Action
No. 3-01-CV-2062-X)
On
October 12, 2001, the Commission filed a civil
action against Mark Steven Snader, individually
and d/b/a "e-highyields.com" and "The
High Yield Club." In its complaint, the Commission
alleged that Snader engaged in fraudulent, unregistered
broker activities over the Internet via his website,
e-highyields.com. Snader solicited investor funds
for "prime bank" type trading schemes,
and made false and misleading statements involving
his operations, his investment experience, his
due diligence and the basis for his investment
recommendations.
Contrary
to his claims, Snader, who resides in Stevens,
Pennsylvania, did not have a staff of analysts
working for him. Nor was he advised, on a daily
basis, by a network of consultants who provided
him with information not available to the general
public. Rather, Snader's operation was a one-man
show, run completely from his home computer. Further,
Snader, who claimed to be a former purchasing
manager for one of the top 50 corporations in
the world, was in fact a former truck- driver
and welder, with a high school education and no
investment experience or acumen. Finally, Snader's
promises of investment returns, ranging from 60
to 208 percent annually, had no basis in fact.
Simultaneously,
with the filing of its action, the Commission
announced that Snader, without admitting or denying
the Commission's charges, consented to the entry
of a permanent injunction enjoining him from further
violating Section 17(a) of the Securities Act
of 1933, Sections 15(a) and 10(b) of the Securities
Exchange Act of 1934 and Rule 10b-5 thereunder.
As part of the consent order, Snader agreed to
pay disgorgement and a civil money penalty in
amounts to be determined by the Court and/or by
further agreement with the Commission.
Unscrupulous
promoters continue to victimize the public with
"prime bank" schemes. Accordingly, investors
are advised to access the Commission's "Prime
Bank" Investor Alert. This warning provides
tips on how to avoid becoming a victim of such
scams. The investor alert can be found on the
Commission's website at www.sec.gov/investor/alerts.shtml.
Bottom line: Prime Bank investments do not exist.
from:
http://www.sec.gov/litigation/litreleases/lr17187.htm
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