SEC v. CRAIG H. CARTON; JOSEPH G. MELI; ADVANCE ENTERTAINMENT; ADVANCEM LTD; MISOLUKI; MISOLUKI, et al., No. 1:17-cv-06764, Southern District of New York (Apr. 12, 2019)

USDC SDNY
DOCUMENT
ELECTRONICALLY FILED
DOC #:
DATE FILED:
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[proposed]
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FINAL JUDGMENT AS TO DEFENDANTS
JOSEPH G. MELI AND ADVANCE ENTERTAINMENT, LLC
The Securities and Exchange Commission having filed a complaint and Defendants
Joseph G. Meli (“Meli”) and Advance Entertainment, LLC (together, “Defendants”) having
entered a general appearance; consented to the Court’s jurisdiction over Defendants and the
subject matter of this action; consented to entry of this Final Judgment; waived findings of fact
and conclusions of law; and waived any right to appeal from this Final Judgment:
I.
IT IS HEREBY ORDERED, ADJUDGED, AND DECREED that Defendants Joseph G.
Meli and Advance Entertainment II, LLC are permanently restrained and enjoined from
violating, directly or indirectly, Section 10(b) of the Securities Exchange Act of 1934 (the
“Exchange Act”) [15 U.S.C. § 78j(b)] and Rule 10b-5 promulgated thereunder [17 C.F.R.
UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
SECURITIES AND EXCHANGE
COMMISSION,
Plaintiff,
v.
CRAIG H. CARTON,
JOSEPH G. MELI,
ADVANCE ENTERTAINMENT, LLC,
ADVANCEM LTD.,
MISOLUKI, INC.,
MISOLUKI, LLC,
TICKET JONES, LLC, and
TIER ONE TICKETS, LLC,
Defendants.
     Civil Action No. 17-cv-6764-LGS
1

§ 240.10b-5], by using any means or instrumentality of interstate commerce, or of the mails, or
of any facility of any national securities exchange, in connection with the purchase or sale of any
security:
(a) to employ any device, scheme, or artifice to defraud;
(b) to make any untrue statement of a material fact or to omit to state a material fact
necessary in order to make the statements made, in the light of the circumstances
under which they were made, not misleading; or
(c) to engage in any act, practice, or course of business which operates or would
operate as a fraud or deceit upon any person.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that, as provided in
Federal Rule of Civil Procedure 65(d)(2), the foregoing paragraph also binds the following who
receive actual notice of this Final Judgment by personal service or otherwise:  (a) Defendants’
officers, agents, servants, employees, and attorneys; and (b) other persons in active concert or
participation with Defendants or with anyone described in (a).
II.
IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that
Defendants Joseph G. Meli and Advance Entertainment, LLC are permanently restrained and
enjoined from violating Section 17(a) of the Securities Act of 1933 (the “Securities Act”) [15
U.S.C. § 77q(a)] in the offer or sale of any security by the use of any means or instruments of
transportation or communication in interstate commerce or by use of the mails, directly or
indirectly:
(a) to employ any device, scheme, or artifice to defraud;
2

(b) to obtain money or property by means of any untrue statement of a material fact
or any omission of a material fact necessary in order to make the statements
made, in light of the circumstances under which they were made, not misleading;
or
(c) to engage in any transaction, practice, or course of business which operates or
would operate as a fraud or deceit upon the purchaser.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that, as provided in
Federal Rule of Civil Procedure 65(d)(2), the foregoing paragraph also binds the following who
receive actual notice of this Final Judgment by personal service or otherwise:  (a) Defendants’
officers, agents, servants, employees, and attorneys; and (b) other persons in active concert or
participation with Defendants or with anyone described in (a).
III.
IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant
Joseph G. Meli is liable for disgorgement of $2,600,000.00, representing profits gained as a
result of the conduct alleged in the complaint, together with prejudgment interest thereon in the
amount of $203,610.25, for a total of $2,803,610.25.  Disgorgement and prejudgment interest are
deemed satisfied by the Order of Restitution entered against Meli on June 21, 2018 in the related
criminal case, United States v. Joseph Meli, Crim. No. 1:2017-cr-00127-KMW (S.D.N.Y.) [ECF
No. 171].
IV.
IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant
Advance Entertainment, LLC is liable for disgorgement of $2,600,000.00, representing profits
gained as a result of the conduct alleged in the complaint, together with prejudgment interest
3

thereon in the amount of $203,610.25, for a total of $2,803,610.25.  Disgorgement and
prejudgment interest are deemed satisfied by the Order of Restitution entered against Meli on
June 21, 2018 in the related criminal case, United States v. Joseph Meli, Crim. No. 1:2017-cr-
00127-KMW (S.D.N.Y.) [ECF No. 171].
V.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that the Consent is
incorporated herein with the same force and effect as if fully set forth herein, and that
Defendants shall comply with all of the undertakings and agreements set forth therein.
VI.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that, for purposes of
exceptions to discharge set forth in Section 523 of the Bankruptcy Code, 11 U.S.C. §523, the
allegations in the complaint are true and admitted by Defendants, and further, any debt for
disgorgement, prejudgment interest, or other amounts due by Defendants under this Final
Judgment or any other judgment, order, consent order, decree or settlement agreement entered in
connection with this proceeding, is a debt for the violation by Defendants of the federal securities
laws or any regulation or order issued under such laws, as set forth in Section 523(a)(19) of the
Bankruptcy Code, 11 U.S.C. §523(a)(19).
VII.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that paragraphs III and
IV, above, reflect that as to the disgorgement ordered herein, the Final Judgment entered by the
Court has been fully satisfied.
4

VIII.
IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that this Court shall retain
jurisdiction of this matter for the purposes of enforcing the terms of this Final Judgment.
IX.
There being no just reason for delay, pursuant to Rule 54(b) of the Federal Rules of Civil
Procedure, the Clerk is ordered to enter this Final Judgment forthwith and without further notice.
and close the case.
So Ordered.
Dated: April 11, 2019
New York, New York
5

USDC SDNY 
DOCUMENT 
ELECTRONICALLY FILED 
DOC #: 
DATE FILED:  

Case 1:17-cv-06764-LGS  Document 65  Filed 04/11/19  Page 1 of 5

[proposed]
FINAL JUDGMENT AS TO DEFENDANTS 

JOSEPH G. MELI AND ADVANCE ENTERTAINMENT, LLC 

The Securities and Exchange Commission having filed a complaint and Defendants 

Joseph G. Meli (“Meli”) and Advance Entertainment, LLC (together, “Defendants”) having 

entered a general appearance; consented to the Court’s jurisdiction over Defendants and the 

subject matter of this action; consented to entry of this Final Judgment; waived findings of fact 

and conclusions of law; and waived any right to appeal from this Final Judgment: 

I. 

IT IS HEREBY ORDERED, ADJUDGED, AND DECREED that Defendants Joseph G. 

Meli and Advance Entertainment II, LLC are permanently restrained and enjoined from 

violating, directly or indirectly, Section 10(b) of the Securities Exchange Act of 1934 (the 

“Exchange Act”) [15 U.S.C. § 78j(b)] and Rule 10b-5 promulgated thereunder [17 C.F.R. 

UNITED STATES DISTRICT COURT 
SOUTHERN DISTRICT OF NEW YORK 

SECURITIES AND EXCHANGE 
COMMISSION, 

Plaintiff, 

v. 

CRAIG H. CARTON, 
JOSEPH G. MELI, 
ADVANCE ENTERTAINMENT, LLC, 
ADVANCEM LTD., 
MISOLUKI, INC., 
MISOLUKI, LLC, 
TICKET JONES, LLC, and 
TIER ONE TICKETS, LLC,  

Defendants. 

     Civil Action No. 17-cv-6764-LGS 

1 



  

  

 

 

  

  

  

 

  

  

  

 

  

 

 

Case 1:17-cv-06764-LGS  Document 65  Filed 04/11/19  Page 2 of 5 

§ 240.10b-5], by using any means or instrumentality of interstate commerce, or of the mails, or 

of any facility of any national securities exchange, in connection with the purchase or sale of any 

security: 

(a) to employ any device, scheme, or artifice to defraud; 

(b) to make any untrue statement of a material fact or to omit to state a material fact 

necessary in order to make the statements made, in the light of the circumstances 

under which they were made, not misleading; or 

(c) to engage in any act, practice, or course of business which operates or would 

operate as a fraud or deceit upon any person. 

IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that, as provided in 

Federal Rule of Civil Procedure 65(d)(2), the foregoing paragraph also binds the following who 

receive actual notice of this Final Judgment by personal service or otherwise:  (a) Defendants’ 

officers, agents, servants, employees, and attorneys; and (b) other persons in active concert or 

participation with Defendants or with anyone described in (a). 

II. 

IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that 

Defendants Joseph G. Meli and Advance Entertainment, LLC are permanently restrained and 

enjoined from violating Section 17(a) of the Securities Act of 1933 (the “Securities Act”) [15 

U.S.C. § 77q(a)] in the offer or sale of any security by the use of any means or instruments of 

transportation or communication in interstate commerce or by use of the mails, directly or 

indirectly: 

(a) to employ any device, scheme, or artifice to defraud; 

2 



  

  

 

 

  

  

  

  

  

Case 1:17-cv-06764-LGS  Document 65  Filed 04/11/19  Page 3 of 5 

(b) to obtain money or property by means of any untrue statement of a material fact 

or any omission of a material fact necessary in order to make the statements 

made, in light of the circumstances under which they were made, not misleading; 

or 

(c) to engage in any transaction, practice, or course of business which operates or 

would operate as a fraud or deceit upon the purchaser. 

IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that, as provided in 

Federal Rule of Civil Procedure 65(d)(2), the foregoing paragraph also binds the following who 

receive actual notice of this Final Judgment by personal service or otherwise:  (a) Defendants’ 

officers, agents, servants, employees, and attorneys; and (b) other persons in active concert or 

participation with Defendants or with anyone described in (a). 

III. 

IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant 

Joseph G. Meli is liable for disgorgement of $2,600,000.00, representing profits gained as a 

result of the conduct alleged in the complaint, together with prejudgment interest thereon in the 

amount of $203,610.25, for a total of $2,803,610.25.  Disgorgement and prejudgment interest are 

deemed satisfied by the Order of Restitution entered against Meli on June 21, 2018 in the related 

criminal case, United States v. Joseph Meli, Crim. No. 1:2017-cr-00127-KMW (S.D.N.Y.) [ECF 

No. 171]. 

IV. 

IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant 

Advance Entertainment, LLC is liable for disgorgement of $2,600,000.00, representing profits 

gained as a result of the conduct alleged in the complaint, together with prejudgment interest 

3 

https://2,600,000.00
https://2,803,610.25
https://203,610.25
https://2,600,000.00


  

 

  

 

 

      

  

 

   

Case 1:17-cv-06764-LGS  Document 65  Filed 04/11/19  Page 4 of 5 

thereon in the amount of $203,610.25, for a total of $2,803,610.25.  Disgorgement and 

prejudgment interest are deemed satisfied by the Order of Restitution entered against Meli on 

June 21, 2018 in the related criminal case, United States v. Joseph Meli, Crim. No. 1:2017-cr-

00127-KMW (S.D.N.Y.) [ECF No. 171]. 

V. 

IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that the Consent is 

incorporated herein with the same force and effect as if fully set forth herein, and that 

Defendants shall comply with all of the undertakings and agreements set forth therein. 

VI. 

IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that, for purposes of 

exceptions to discharge set forth in Section 523 of the Bankruptcy Code, 11 U.S.C. §523, the 

allegations in the complaint are true and admitted by Defendants, and further, any debt for 

disgorgement, prejudgment interest, or other amounts due by Defendants under this Final 

Judgment or any other judgment, order, consent order, decree or settlement agreement entered in 

connection with this proceeding, is a debt for the violation by Defendants of the federal securities 

laws or any regulation or order issued under such laws, as set forth in Section 523(a)(19) of the 

Bankruptcy Code, 11 U.S.C. §523(a)(19). 

VII. 

IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that paragraphs III and 

IV, above, reflect that as to the disgorgement ordered herein, the Final Judgment entered by the 

Court has been fully satisfied. 

4 

https://2,803,610.25
https://203,610.25


 

Case 1:17-cv-06764-LGS  Document 65  Filed 04/11/19  Page 5 of 5 

VIII. 

IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that this Court shall retain 

jurisdiction of this matter for the purposes of enforcing the terms of this Final Judgment. 

IX. 

There being no just reason for delay, pursuant to Rule 54(b) of the Federal Rules of Civil 

Procedure, the Clerk is ordered to enter this Final Judgment forthwith and without further notice. 
and close the case. 

So Ordered. 

Dated: April 11, 2019 
New York, New York 

5