SEC v. Theodore O. Pollard; and World Investment Network, Ltd., No. LR-16132, Northern District of California (May 5, 1999) — Press Release
raw: Theodore O. Pollard and World Investment Network, Ltd.
Theodore O. Pollard and World Investment Network, Ltd., No. LR-16132 (May 5, 1999)
Theodore O. Pollard of Palo Alto, CA, was arrested for contempt of court after willfully refusing to comply with SEC subpoenas demanding testimony and documents related to his company World Investment Network, Ltd.'s alleged fraud involving the sale of fraudulent 'prime bank' securities online, following a March 1999 court order imposing daily fines.
Theodore O. Pollard and his company, World Investment Network, Ltd. (WIN), were under investigation by the SEC for涉嫌通过网站销售欺诈性的‘主银行’证券，此类骗局自1993年起已被SEC公开警示。Pollard拒绝遵守两项SEC传票，要求其作证并提交文件，导致法院于1999年3月5日裁定其藐视法庭，并每日处以罚款。因持续无视法院命令，SEC申请并获得逮捕令，Pollard于1999年5月4日被美国法警在家逮捕，并被命令于5月14日携律师出庭。
Theodore O. Pollard of Palo Alto, CA, and his company World Investment Network, Ltd. (WIN), were under investigation by the Securities and Exchange Commission (SEC) for suspected fraud involving the sale of fraudulent 'prime bank' securities over WIN's website, a scheme the SEC had warned investors about since a 1993 press release. Pollard repeatedly refused to comply with two SEC subpoenas demanding testimony and production of documents, prompting the U.S. District Court to hold him in contempt on March 5, 1999, and impose daily monetary fines for non-compliance. When Pollard continued to ignore the court’s order, the SEC sought and obtained a bench warrant, leading to his arrest by U.S. Marshals at his home on May 4, 1999. The arrest was specifically for contempt of court, not for the underlying fraud allegations, which remained under investigation. Pollard was ordered to appear before Judge Fern A. Smith on May 14, 1999, with legal counsel for further proceedings. The case highlighted the SEC’s enforcement efforts against internet-based financial fraud, particularly targeting the long-standing but persistent 'prime bank' scam. No criminal charges or final financial penalties were yet imposed at the time of arrest, but the contempt proceedings signaled escalating legal consequences for obstruction of the investigation.
Extracted insights
- person bench warrant
- person contempt order
- agency for failure to comply with sec subpoena
- person monetary fine against pollard
- company pollard and world investment network, ltd.
- company pollard's company
- person press release
- company sale of prime bank securities
- agency Securities and Exchange Commission
- person theodore o. pollard
- company world investment network, ltd.
- Theodore O. Pollard was arrested by the U.S. Marshal
- Theodore O. Pollard was arrested at his home
- Theodore O. Pollard was arrested pursuant to a bench warrant
- Theodore O. Pollard was arrested for failure to comply with SEC subpoena
- Theodore O. Pollard resulted from continued non-compliance with subpoenas
- Securities and Exchange Commission issued subpoenas
- subpoenas ordering him to testify and produce documents
- World Investment Network, Ltd. is Pollard's company
- Pollard has been under investigation
- World Investment Network, Ltd. has been under investigation
- Pollard is suspected of fraud
- World Investment Network, Ltd. is suspected of fraud
- fraud in connection with sale of prime bank securities
- Securities and Exchange Commission issued press release
- press release warning investors about dangers of fraudulent schemes
- Court issued contempt order
- contempt order against Pollard and World Investment Network, Ltd.
- contempt order ordered monetary fine against Pollard
- Securities and Exchange Commission sought bench warrant
- Securities and Exchange Commission obtained bench warrant
- bench warrant for Pollard's arrest
- Pollard was ordered to appear with counsel
- Pollard was ordered to appear on May 14, 1999
Litigation Release No. 16132 \ May 5, 1999 [In re: An Application To Enforce Administrative Subpoenas of the Securities and Exchange Commission v. Theodore O. Pollard and World Investment Network, Ltd., CV-98-0056-MISC (FMS)] PALO ALTO MAN ARRESTED FOR FAILURE TO COMPLY WITH SEC SUBPOENA Theodore O. Pollard of Palo Alto, CA, was arrested at his home by the U.S. Marshal yesterday pursuant to a bench warrant issued by the Honorable Fern A. Smith, United States District Court Judge, Northern District of California. Pollard's arrest resulted from his continued non-compliance with two Securities and Exchange Commission ("Commission") subpoenas ordering him to testify and produce documents from his company, World Investment Network, Ltd. ("WIN"), in connection with a Commission investigation. As part of the Commission's focus on securities violations over the Internet, Pollard and WIN have been under investigation for suspected fraud in connection with the sale of so-called "prime bank" securities over WIN's website. The Commission issued a press release on October 19, 1993 warning investors about the dangers of fraudulent schemes involving the issuance and trading of "prime" bank, "prime" European bank or "prime" world bank financial instruments. On March 5, 1999, the Court issued a contempt order against Pollard and WIN and ordered a monetary fine against Pollard for every day he remained in contempt. When Pollard failed to comply with the Court's order, the Commission sought and obtained a bench warrant for Pollard's arrest. At a hearing before Judge Smith, Pollard was ordered to appear with counsel on May 14, 1999 for further proceedings.Litigation Release No. 16132 \ May 5, 1999 [In re: An Application To Enforce Administrative Subpoenas of the Securities and Exchange Commission v. Theodore O. Pollard and World Investment Network, Ltd., CV-98-0056-MISC (FMS)] PALO ALTO MAN ARRESTED FOR FAILURE TO COMPLY WITH SEC SUBPOENA Theodore O. Pollard of Palo Alto, CA, was arrested at his home by the U.S. Marshal yesterday pursuant to a bench warrant issued by the Honorable Fern A. Smith, United States District Court Judge, Northern District of California. Pollard's arrest resulted from his continued non-compliance with two Securities and Exchange Commission ("Commission") subpoenas ordering him to testify and produce documents from his company, World Investment Network, Ltd. ("WIN"), in connection with a Commission investigation. As part of the Commission's focus on securities violations over the Internet, Pollard and WIN have been under investigation for suspected fraud in connection with the sale of so-called "prime bank" securities over WIN's website. The Commission issued a press release on October 19, 1993 warning investors about the dangers of fraudulent schemes involving the issuance and trading of "prime" bank, "prime" European bank or "prime" world bank financial instruments. On March 5, 1999, the Court issued a contempt order against Pollard and WIN and ordered a monetary fine against Pollard for every day he remained in contempt. When Pollard failed to comply with the Court's order, the Commission sought and obtained a bench warrant for Pollard's arrest. At a hearing before Judge Smith, Pollard was ordered to appear with counsel on May 14, 1999 for further proceedings.