2013-04-08 sec-litreleases pdf 116 KB 5,780 chars

In re JOSEPH YURKIN

Exhibit of Glenn Hoppes, United States Energy Corp., TN-KY Development Fund LP, TN-KY Development Fund II LP and TN-KY Development Fund III LP

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summary

Joseph Yurkin, former vice president of Investor Relations at Homeland Communications Corp., was permanently barred by the SEC from association with any broker-dealer after defaulting on an administrative proceeding for defrauding investors by selling over $345,000 in unregistered securities through false statements and omissions while unregistered, in violation of federal securities laws.

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Joseph Yurkin was permanently enjoined in 2007 for violating Sections 5(a), 5(c), and 17(a) of the Securities Act and Section 10(b) and Rule 10b-5 of the Exchange Act through his role in selling unregistered securities of Homeland Communications Corp. Between June 2006 and September 2007, he received at least $345,000 in commissions by making material misrepresentations about the company’s assets, licenses, regulatory history, and an imminent public offering, while operating without registration as a broker-dealer or association with one. The SEC found his conduct recurring, egregious, and without mitigation, warranting a permanent bar under Section 15(b) of the Exchange Act to protect investors.

narrative

Joseph Yurkin, former vice president of Investor Relations at Homeland Communications Corp., was permanently barred by the SEC from association with any broker-dealer after failing to respond to an administrative proceeding, resulting in a default finding. Between June 2006 and September 2007, he fraudulently sold unregistered securities to the public, receiving at least $345,000 in commissions through deceptive practices including false statements in the company’s website, private placement memorandum, and oral pitches. He misrepresented Homeland’s assets, falsely claimed an imminent public offering at a higher price, and omitted critical information about the company’s regulatory history. Yurkin was not registered with the SEC as a broker-dealer nor associated with one during these activities, violating Section 15(a)(1) of the Exchange Act. He had already been permanently enjoined in November 2007 for the same conduct, yet continued his fraudulent scheme. The SEC determined his violations were recurring, egregious, and lacked any mitigating circumstances, making a permanent bar necessary to protect investors and uphold market integrity. This sanction aligns with Commission precedent and the factors outlined in Steadman v. SEC, emphasizing that unregistered individuals engaging in securities sales are not exempt from bar sanctions.

Enriched metadata

Scheme: unregistered-securities (100%)

Classified unregistered-securities(confidence 100%). EDGAR detection: forms Form D/S-1· recall 41% / precision 30%. detection rule →

Extracted insights

Dollar amounts 1

$345K $345,000 $100K–$1M

Entities 2

agency Securities and Exchange Commission
organization Securities and Exchange Commission

Triples 8

Joseph Yurkin was enjoined from violating the antifraud and registration provisions of the federal securities laws
Joseph Yurkin sold Homeland’s unregistered securities to the public
Joseph Yurkin received at least $345,000 in sales commissions
Joseph Yurkin made material misrepresentations and omissions to investors through Homeland’s website, PPM, and oral statements
Joseph Yurkin falsely told prospective investors that a public offering of Homeland’s stock was imminent
Joseph Yurkin was not registered with the Commission as a broker-dealer or associated with a registered broker-dealer
Securities and Exchange Commission issued Order Instituting Proceedings against Joseph Yurkin on September 4, 2008
Joseph Yurkin failed to file an Answer to the Order Instituting Proceedings

PDF

In re JOSEPH YURKIN · Source

Text layers

Extracted body text (5,780c)

UNITED STATES OF AMERICA

Before the

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

SECURITIES EXCHANGE ACT OF 1934
Release No. 58768/October 10, 2008
ADMINISTRATIVE PROCEEDING
File No. 3-13159
___________________________________
In the Matter of
JOSEPH YURKIN
:
:
:
ORDER MAKING FINDINGS AND
IMPOSING SANCTION BY DEFAULT
___________________________________
SUMMARY
This Order bars Joseph Yurkin (Yurkin) from association with a broker or dealer. Yurkin
was previously enjoined from violating the antifraud and registration provisions of the securities
laws, based on his involvement in a fraudulent scheme selling unregistered securities.
I. BACKGROUND
The Securities and Exchange Commission (Commission) issued its Order Instituting
Proceedings (OIP) against Yurkin on September 4, 2008, pursuant to Section 15(b) of the
Securities Exchange Act of 1934 (Exchange Act). The OIP alleges that he was enjoined in 2007
from violating the antifraud and registration provisions of the federal securities laws, based on
his using fraudulent means to sell unregistered securities. Yurkin was served with the OIP on
September 15, 2008. He failed to file an Answer, due twenty days after service of the OIP. See
17 C.F.R. § 201.220(b); OIP at 3. A respondent who fails to file an Answer to the OIP may be
deemed to be in default, and the administrative law judge may determine the proceeding against
him.
1
See 17 C.F.R. §§ 201.155(a), .220(f); OIP at 3. Thus, Yurkin is in default, and the
undersigned finds the following allegations in the OIP are true.
II. FINDINGS OF FACT
Yurkin, of Boca Raton, Florida, is permanently enjoined from violating the antifraud and
registration provisions of the federal securities laws – Sections 5(a), 5(c), and 17(a) of the
Securities Act of 1933 and Section 10(b) of the Exchange Act and Rule 10b-5 thereunder. SEC
v. Homeland Commc’ns Corp., Civ. No. 07-80802-CIV-MARRA/JOHNSON (S.D. Fla. Nov.
19, 2007). The wrongdoing that underlies Yurkin’s injunction occurred from June 2006 through
1
Yurkin was advised that if he failed to file an Answer to the OIP within the time provided by law,
the undersigned would enter an order barring him from association with a broker or dealer. See
Joseph Yurkin
, Admin. Proc. No. 3-13159 (A.L.J. Oct. 2, 2008) (unpublished).

September 2007 while he was vice president of “Investor Relations” of Homeland
Communications Corp. (Homeland), a purported wireless telecommunications company, and one
of Homeland’s most active telemarketers. Yurkin offered and sold Homeland’s unregistered
securities to the public, receiving at least $345,000 in sales commissions. He made numerous
material misrepresentations and omissions to investors through Homeland’s website, its private
placement memorandum (PPM), and oral statements to investors. The PPM that Yurkin
distributed to investors contained false or misleading statements about Homeland’s assets and
licenses, its acquisition of another company, and its future profitability, and omitted to state
information about Homeland’s regulatory history. He also falsely told prospective investors that
a public offering of Homeland’s stock was imminent, at a higher price than he was offering.
Yurkin was not registered with the Commission as a broker-dealer or associated with a registered
broker-dealer while engaged in these sales activities.
III. CONCLUSIONS OF LAW
Yurkin is permanently enjoined “from engaging in or continuing any conduct or practice
in connection . . . with the purchase or sale of any security” within the meaning of Sections
15(b)(4)(C) and 15(b)(6)(A)(iii) of the Exchange Act. Additionally, deeming the allegations of
the OIP to be true, pursuant to 17 C.F.R. § 201.155(a), Yurkin violated Section 15(a)(1) of the
Exchange Act by engaging in the sales activities found above while not registered with the
Commission as a broker-dealer or associated with a registered broker-dealer.
IV. SANCTION
Yurkin will be barred from association with any broker-dealer. This sanction will serve
the public interest and the protection of investors, pursuant to Section 15(b) of the Exchange Act. It
accords with Commission precedent and the sanction considerations set forth in Steadman v. SEC,
603 F.2d 1126, 1140 (5th Cir. 1979),
2
aff’d on other grounds, 450 U.S. 91 (1981). Yurkin’s
unlawful conduct was recurring and egregious, occurring repeatedly for more than a year. There
are no mitigating circumstances.
V. ORDER
IT IS ORDERED that, pursuant to Section 15(b) of the Securities Exchange Act of 1934,
JOSEPH YURKIN IS BARRED from association with a broker or dealer.
__________________________________
Carol Fox Foelak
Administrative Law Judge
2
The fact that Yurkin was not associated with a broker-dealer during his wrongdoing does not
insulate him from a bar. See Vladislav Steven Zubkis, 86 SEC Docket 2618, 2627 (Dec. 2,
2005), recon. denied
, 87 SEC Docket 2584 (Apr. 13, 2006) (barring unregistered associated
person of an unregistered broker-dealer from association with a broker or dealer).
2

OCR text (5,192c · tika · 95% conf)

UNITED STATES OF AMERICA

Before the

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

SECURITIES EXCHANGE ACT OF 1934
Release No. 58768/October 10, 2008

ADMINISTRATIVE PROCEEDING
File No. 3-13159
___________________________________
In the Matter of

JOSEPH YURKIN

:
:
:

ORDER MAKING FINDINGS AND
IMPOSING SANCTION BY DEFAULT

___________________________________

SUMMARY

This Order bars Joseph Yurkin (Yurkin) from association with a broker or dealer. Yurkin
was previously enjoined from violating the antifraud and registration provisions of the securities
laws, based on his involvement in a fraudulent scheme selling unregistered securities.

I. BACKGROUND

The Securities and Exchange Commission (Commission) issued its Order Instituting
Proceedings (OIP) against Yurkin on September 4, 2008, pursuant to Section 15(b) of the
Securities Exchange Act of 1934 (Exchange Act). The OIP alleges that he was enjoined in 2007
from violating the antifraud and registration provisions of the federal securities laws, based on
his using fraudulent means to sell unregistered securities. Yurkin was served with the OIP on
September 15, 2008. He failed to file an Answer, due twenty days after service of the OIP. See
17 C.F.R. § 201.220(b); OIP at 3. A respondent who fails to file an Answer to the OIP may be
deemed to be in default, and the administrative law judge may determine the proceeding against
him.1 See 17 C.F.R. §§ 201.155(a), .220(f); OIP at 3. Thus, Yurkin is in default, and the
undersigned finds the following allegations in the OIP are true.

II. FINDINGS OF FACT

Yurkin, of Boca Raton, Florida, is permanently enjoined from violating the antifraud and
registration provisions of the federal securities laws – Sections 5(a), 5(c), and 17(a) of the
Securities Act of 1933 and Section 10(b) of the Exchange Act and Rule 10b-5 thereunder. SEC
v. Homeland Commc’ns Corp., Civ. No. 07-80802-CIV-MARRA/JOHNSON (S.D. Fla. Nov.
19, 2007). The wrongdoing that underlies Yurkin’s injunction occurred from June 2006 through

1 Yurkin was advised that if he failed to file an Answer to the OIP within the time provided by law,
the undersigned would enter an order barring him from association with a broker or dealer. See
Joseph Yurkin, Admin. Proc. No. 3-13159 (A.L.J. Oct. 2, 2008) (unpublished).

III. CONCLUSIONS OF LAW

Yurkin is permanently enjoined “from engaging in or continuing any conduct or practice
in connection . . . with the purchase or sale of any security” within the meaning of Sections
15(b)(4)(C) and 15(b)(6)(A)(iii) of the Exchange Act. Additionally, deeming the allegations of
the OIP to be true, pursuant to 17 C.F.R. § 201.155(a), Yurkin violated Section 15(a)(1) of the
Exchange Act by engaging in the sales activities found above while not registered with the
Commission as a broker-dealer or associated with a registered broker-dealer.

IV. SANCTION

Yurkin will be barred from association with any broker-dealer. This sanction will serve
the public interest and the protection of investors, pursuant to Section 15(b) of the Exchange Act. It
accords with Commission precedent and the sanction considerations set forth in Steadman v. SEC,
603 F.2d 1126, 1140 (5th Cir. 1979),2 aff’d on other grounds, 450 U.S. 91 (1981). Yurkin’s
unlawful conduct was recurring and egregious, occurring repeatedly for more than a year. There
are no mitigating circumstances.

V. ORDER

IT IS ORDERED that, pursuant to Section 15(b) of the Securities Exchange Act of 1934,
JOSEPH YURKIN IS BARRED from association with a broker or dealer.

__________________________________
Carol Fox Foelak
Administrative Law Judge

2 The fact that Yurkin was not associated with a broker-dealer during his wrongdoing does not
insulate him from a bar. See Vladislav Steven Zubkis, 86 SEC Docket 2618, 2627 (Dec. 2,
2005), recon. denied, 87 SEC Docket 2584 (Apr. 13, 2006) (barring unregistered associated
person of an unregistered broker-dealer from association with a broker or dealer).