SEC v. Pension Fund of America, LC; Luis Cornide; and Joanna Datesh, No. LR-19745, Southern District of Florida (June 28, 2006) — Press Release
raw: Pension Fund of America, LC, et al.
Pension Fund of America, LC, et al., No. LR-19745 (S.D.F.la June 28, 2006)
Luis Cornide and his wife Joanna Datesh paid $258,451.43 to the SEC-appointed Receiver to avoid incarceration after being found in civil contempt for violating asset freeze orders in the Pension Fund of America fraud case.
Luis Cornide and Joanna Datesh were found in civil contempt by U.S. District Judge K. Michael Moore for violating asset freeze orders issued in the SEC’s enforcement action against Pension Fund of America, LC. The court determined they had improperly transferred or concealed assets, leading to a sanction of $258,451.43 payable to the Receiver, with the alternative of forfeiting their Coral Gables property or facing incarceration. The Cornides satisfied the penalty in May 2006 by paying the full amount, thereby purging their contempt and avoiding jail.
Luis Cornide and his wife, Joanna Datesh, were held in civil contempt by U.S. District Judge K. Michael Moore for violating asset freeze orders issued in the SEC’s case against Pension Fund of America, LC. A two-day hearing in January 2006 revealed they had improperly transferred or concealed assets subject to the court’s injunction, prompting a finding of contempt on March 23, 2006. Judge Moore ordered them to pay $258,451.43 to the court-appointed Receiver, forfeit their Coral Gables property, or face incarceration until compliance. The Cornides chose to pay the full amount to the Receiver in May 2006, thereby purging their contempt and avoiding imprisonment. The underlying SEC case involved alleged fraud by Pension Fund of America, but the Cornides’ liability was strictly for defying the court’s asset freeze orders. This enforcement action was part of broader efforts by the SEC to preserve assets for potential restitution to victims. The case was formally documented in Litigation Release No. 19745, issued on June 28, 2006.
Extracted insights
- $258K $258,451 $100K–$1M
- agency the securities and exchange commission
- Luis Cornide and his wife, Joanna Datesh pay $258,451.43 for violating asset freeze orders
- The Securities and Exchange Commission announced a hearing on May 16, 2006
- Honorable K. Michael Moore held a hearing regarding sanctions
U.S. SECURITIES AND EXCHANGE COMMISSION Litigation Release No. 19745 / June 28, 2006 SEC v. Pension Fund of America, LC, et al., Case No. 05-20863-CIV-MOORE (S.D.Fla.) Luis Cornide and His Wife, Joanna Harrison Datesh Pay $258,451.43 for Violating Asset Freeze Orders The Securities and Exchange Commission announced that on May 16, 2006, the Honorable K. Michael Moore, United States District Judge for the Southern District of Florida held a hearing regarding the sanctions to be imposed upon Defendant Luis Cornide and his wife, Joanna Datesh for violating the Court's Temporary Restraining Order and Order of Preliminary Injunction (asset freeze orders). The Court ordered the Cornides to pay the Receiver $258,451.43 or quit claim their Coral Gables property or be incarcerated until such time as they purge their contempt. The Cornides paid the Receiver $258,451.43. Previously in July 2005, the SEC and the Receiver filed the civil contempt action against the Cornides for violating the asset freeze orders. A two-day contempt hearing was held on January 23-24, 2006. On March 23, 2006, Judge Moore found the Cornides in civil contempt. For further information, see Litigation Release No. 19161 (March 30, 2005).
U.S. SECURITIES AND EXCHANGE COMMISSION Litigation Release No. 19745 / June 28, 2006 SEC v. Pension Fund of America, LC, et al., Case No. 05-20863-CIV-MOORE (S.D.Fla.) Luis Cornide and His Wife, Joanna Harrison Datesh Pay $258,451.43 for Violating Asset Freeze Orders The Securities and Exchange Commission announced that on May 16, 2006, the Honorable K. Michael Moore, United States District Judge for the Southern District of Florida held a hearing regarding the sanctions to be imposed upon Defendant Luis Cornide and his wife, Joanna Datesh for violating the Court's Temporary Restraining Order and Order of Preliminary Injunction (asset freeze orders). The Court ordered the Cornides to pay the Receiver $258,451.43 or quit claim their Coral Gables property or be incarcerated until such time as they purge their contempt. The Cornides paid the Receiver $258,451.43. Previously in July 2005, the SEC and the Receiver filed the civil contempt action against the Cornides for violating the asset freeze orders. A two-day contempt hearing was held on January 23-24, 2006. On March 23, 2006, Judge Moore found the Cornides in civil contempt. For further information, see Litigation Release No. 19161 (March 30, 2005).