SEC NEWS DIGEST Issue 2003-185 September 29, 2003 COMMISSION ANNOUNCEMENTS SEC CHAIRMAN DONALDSON RELEASES STAFF REPORT ON HEDGE FUNDS Securities and Exchange Commission Chairman William H. Donaldson today released the SEC staff report "The Implications of the Growth of Hedge Funds." The report follows a fact-finding investigation into the operations and practices of the hedge fund industry. During its investigation, SEC staff reviewed documents and information from 65 hedge fund advisers managing more than 650 different hedge funds with over $160 billion of assets. Staff also visited hedge fund advisers and prime brokers and conducted a series of examinations of registered funds of hedge funds. In addition, the staff met with a variety of hedge fund industry experts and observers. Complementing the study, the Commission held a highly successful two-day Roundtable, during which a variety of experts discussed key aspects of hedge fund operations. The staff also analyzed approximately 80 comment letters that were received by the Commission on hedge fund issues following the Roundtable. In its report, the staff identifies a number of areas of concern regarding hedge funds: * the trend toward "retailization" of hedge funds; * the lack of Commission information about hedge funds and their advisers' activities; * the need for enhanced disclosure by some hedge fund advisers; * valuation and other conflict of interest issues; and * the increased incidence of hedge fund fraud. Many of these concerns arise from the unregulated status of hedge funds. The report contains a number of recommendations to improve the regulation and oversight of the hedge fund industry. The staff's primary recommendation is that the Commission consider revising its rules to require that hedge fund advisers register under the Investment Advisers Act. The staff's report can be found on the SEC's website at www.sec.gov . Chairman Donaldson said, "Currently there is more than $600 billion invested in hedge funds. That figure is expected to exceed $1 trillion in the next five to 10 years. The substantial growth in hedge fund assets, and the Commisison's lack of information about these investment pools, make the study released today particularly important. The staff has done a fine job of preparing the report and presenting the Commission with comprehensive recommendations. I, along with my fellow Commissioners, look forward to thoroughly reviewing this important work and the additional comments from all parties interested in the hedge fund industry to determine how we may wish to proceed." For further information, contact Herb Perone, John Nester or John Heine of the SEC's Office of Public Affairs at 202-942-0020. (Press Rel. 2003-125) ENFORCEMENT PROCEEDINGS COMMISSION SUSTAINS FINDINGS OF VIOLATIONS MADE BY NASD AGAINST KO SECURITIES, INC. AND TERRANCE YOSHIKAWA; SUSTAINS NASD DISCIPLINARY ACTION FOR RECORDKEEPING VIOLATIONS; AND REMANDS FOR RECONSIDERATION SANCTIONS IMPOSED BY NASD FOR AFFIRMATIVE DETERMINATION VIOLATION The Commission has found that Ko Securities, Inc. and Terrance Y. Yoshikawa, of Seattle, Washington, violated NASD Conduct Rules 3370 and 2110 by executing short sales without making and annotating the affirmative determinations required for each short sale, and Rule 17a-3 of the Securities Exchange Act of 1934 and NASD Conduct Rule 2110 by failing to maintain certain records in connection with those short sales. On May 4, 1998, Ko and Yoshikawa sold short several thousand shares of stock without obtaining the requisite affirmative determination. The affirmative determination rule generally prohibits an NASD member from executing a short sale unless the member makes an "affirmative determination" that the member can borrow the securities or otherwise provide for delivery of the securities by the settlement date. Neither Ko nor Yoshikawa made the requisite affirmative determination. Ko and Yoshikawa also neglected to include certain required information on their customer orders. NASD fined Ko and Yoshikawa $147,450.81 jointly and severally for the affirmative determination violation, and fined Ko an additional $15,000 for the recordkeeping violations. The Commission sustained NASD's findings of the affirmative determination violations and the recordkeeping violations. The Commission sustained the sanctions imposed on Ko and Yoshikawa for the recordkeeping violations. The Commission remanded for reconsideration NASD sanctions with respect to the affirmative determination violations because it was unclear how NASD determined the amount of the fine. (Rel. 34-48550; File No. 3-11000) SEC SUES ATTORNEY FOR INSIDER TRADING On September 25, the Commission filed a settled civil action in the U.S. District Court for the District of Columbia, alleging that defendant Warren J. Soloski, a California attorney, traded on material nonpublic information that he obtained while representing Pay Pop, Inc. (Pay Pop), a now defunct British Columbia-based telecommunications company. The Complaint alleges that Soloski violated the antifraud provisions of the federal securities laws (Section 17(a) of the Securities Act of 1933 (the Securities Act) and Section 10(b) of the Securities Exchange Act of 1934 (the Exchange Act) and Rule 10b-5 thereunder). See Securities and Exchange Commission v. Warren J. Soloski, 1:03CV01993 (D.D.C. Sept. 25, 2003) (PLF). The Commission also issued an administrative order finding that Soloski violated the same provisions. In both its federal court Complaint and its cease-and-desist order, the Commission charged that Soloski received a proposed term sheet from an investment banking firm for a potential $8 million equity financing of Pay Pop. On the same day Soloski received the draft term sheet, he purchased 10,000 shares of Pay Pop. The Commission further charged that Soloski sold these shares after learning that the financing would not close due to the issuance of at least 15 million Pay Pop shares via stock certificates that were free of any restrictive legends in violation of Section 5 of the Securities Act. According to the Commission, Soloski sold his Pay Pop stock while in possession of the following material nonpublic information that he obtained through his representation of the company: (i) Pay Pop had 19 million shares issued and outstanding, approximately 15 million of which Soloski knew to be illegally issued; and (ii) Pay Pop failed to close the $8 million financing despite the fact that Pay Pop had issued a false press release on June 28, 1999 stating that it had closed on the financing. As a result of Soloski's sale of Pay Pop stock, he avoided losses of $922.14. Without admitting or denying the Commission's allegations and findings, Soloski has consented to the entry of a final judgment requiring him to pay disgorgement of $922.14, prejudgment interest of $288.83 thereon, and a one-time civil penalty of $922.14. In addition, Soloski has consented to the entry of an order requiring him to cease and desist from future violations of Section 17(a) of the Securities Act, Section 10(b) of the Exchange Act, and Rule 10b-5 thereunder. In the Matter of Warren J. Soloski, Admin. Proc. No.3-11275, Exchange Act Rel. No.34- 48551 (September 26, 2003), Securities Act Release No. 33-8293. Simultaneously with the filing of these actions, the Commission has also filed a civil injunctive action against five individuals, including a former manager of Pay Pop's transfer agent, CIBC Mellon Trust Company, for engaging in a fraudulent scheme to create purportedly "free trading" Pay Pop stock (i.e., legend-free stock certificates that created the false impression that the stock complied with U.S. registration requirements), issuing a series of materially false and misleading public statements, and selling Pay Pop shares to unsuspecting investors. Securities and Exchange Commission v. Daryl Desjardins, et al., 1:03CV01992 (D.D.C. Sept. 25, 2003) (PLF); Litigation Release No.18366. In addition, the Commission also filed a settled civil injunctive action against Sean Nevett for engaging in an unregistered distribution of Pay Pop stock in violation of Section 5 of the Securities Act. Securities and Exchange Commission v. Sean Nevett, 1:03CV01994 (D.D.C. Sept. 25, 2003) (PLF); Litigation Release No.18367. [SEC v. Commission v. Warren J. Soloski, 1:03CV01993 (D.D.C. Sept. 25, 2003) (PLF)] (LR-18368) COMMISSION SUSTAINS NYSE DISCIPLINARY ACTION AGAINST EDWARD JOHN MCCARTHY The Commission has sustained disciplinary action taken by the New York Stock Exchange, Inc. against Edward John McCarthy. At the time of the hearing, McCarthy was a floor broker and member of the NYSE. The NYSE found that McCarthy had an interest in an account maintained by the Oakford Corporation, a non-member firm, for which he effected transactions on the floor of the NYSE, exercised discretion with respect to the Oakford account, accorded that account preferential treatment, and failed to make and preserve required records. The NYSE censured McCarthy, imposed a $75,000 fine, and barred him for two years from membership and employment on the floor of the Exchange. The Commission concluded that McCarthy violated the federal securities laws and NYSE rules in the course of his trading for the Oakford account and that he "violated the principles of commercial honor and trust that are the hallmark of the exchange auction market system." The Commission found that, given these serious violations, the sanctions imposed by the NYSE were neither excessive nor oppressive. (Rel. 34-48554; File No. 3- 10999) PROCEEDINGS INSTITUTED AGAINST REMMINGTON ADVISORS, INC. AND KENNETH RANDALL WARD On September 26, the Commission instituted administrative proceedings pursuant to Sections 203(e) and 203(f) of the Investment Advisers Act of 1940 (Advisers Act) against Remmington Advisors, Inc. (Remmington), a registered investment adviser, and Kenneth Randall Ward (Ward), Remmington's principal. The administrative proceeding seeks to determine whether remedial action against Remmington and Ward is in the public interest, based on Ward's willful violations of Section 17(a) of the Securities Act of 1933 (Securities Act) and Section 10(b) of the Securities Exchange Act of 1934 (Exchange Act). The Division of Enforcement alleges that, on March 19, 2003, the Commission issued an opinion concluding that Ward committed willful violations of the antifraud provisions of the Securities Act and Exchange Act through the offer and sale, and in connection with the purchase and sale, of inverse floater mortgage derivative securities to two Texas municipalities. In the Matter of Ward, Admin. Proc. File No. 3-9327, Release No. 34-47535 (March 19, 2003). The Commission imposed sanctions on Ward in the public interest, including permanently barring him from association with any broker or dealer. In barring Ward, the Commission stated that Ward "represents a threat to the investing public" and his actions "demonstrate a callous willingness to exploit, for personal benefit and without regard for the impact on others, the trust placed in him by investors . . ." A hearing will be scheduled before an administrative law judge to determine whether the allegations contained in the Order are true, to provide Remmington and Ward an opportunity to dispute the allegations, and to determine what, if any, remedial sanctions are appropriate in the public interest. (Rel. IA-2177; File No. 3-11276) FORMER SALES MANAGER OF QWEST COMMUNICATIONS INTERNATIONAL, INC. CONSENTS TO CEASE-AND-DESIST ORDER AND TO $25,000 CIVIL PENALTY Today, the Commission instituted and simultaneously settled a cease-and- desist proceeding against Loren D. Pfau, a resident of Evergreen, Colorado and former employee of Qwest Communications International, Inc. (Qwest). In addition, the Commission filed a related action for civil penalties against Pfau in the United States District Court for the District of Colorado. In the Order, In the Matter of Loren D. Pfau [33-8295], the Commission found that in the final days of each quarter from December 2000 through June 2001, Qwest used Indefeasible Right of Use (IRU) agreements to sell fiber-optic cable from its telecommunications network as a means to meet aggressive revenue targets. An IRU is an irrevocable right to use a specific amount of fiber for a specified time period. Qwest accounted for IRUs as sales-type leases and recognized nearly the entire amount of the IRU revenue up-front at the time of contract execution, rather than over the life of the IRU agreement. Qwest employees and management commonly referred to IRU sales as gap fillers, in other words, a means to make up the shortfall between the aggressive revenue projections as publicly announced by Qwest and the actual revenue earned. Specifically, the Commission found that in three IRU transactions executed between December 2000 and June 2001, Pfau, then a Qwest sales manager, along with Qwest senior management, provided secret side agreements allowing the purchasers of fiber-optic cable to exchange (or port) the fiber purchased for different fiber at a later date. The explicit purpose of making the side agreements secret was to conceal from Qwest's accountants and outside auditors the purchasers' ability to port, since such exchange rights would have defeated, under generally accepted accounting principles, the up-front revenue recognition sought by Qwest. According to the Commission's findings, Qwest improperly recognized from the three IRU transactions $26.6 million of revenue in the first and second quarters of 2001. As a result, Qwest's quarterly reports for the first and second quarters of 2001, and its annual report for 2001, contained materially false information. Without admitting or denying the findings in the Commission's Order, Pfau has agreed to settle the Commission's claims by consenting to the entry of an administrative order requiring him to cease and desist from committing or causing any violations and any future violations of Section 17(a) of the Securities Act of 1933, and Sections 10(b) and 13(b)(5) of the Securities Exchange Act of 1934 and Rules 10b-5 and 13b2- 1 thereunder, and from causing any violations and any future violations of Sections 13(a) and 13(b)(2)(A) of the Exchange Act and Rules 12b-20, 13a-1 and 13a-13 thereunder. The Commission's complaint in the district court action alleges the same conduct referenced above, and Pfau, without admitting or denying the allegations in the complaint, has consented to the entry of judgment by the U.S. District Court requiring him to pay a civil penalty of $25,000. In settling for a $25,000 penalty, the Commission considered Pfau's cooperation in connection with the Commission's ongoing investigation of this matter. (Rel. 33-8295; 34-48559; AAE Rel. 1879; File No. 3-11278) SEC AND JUSTICE DEPARTMENT BRING CIVIL AND CRIMINAL ACTIONS CHARGING FORMER CFO OF COMPANY THAT ENGAGED IN FRAUDULENT BARTER DEALS WITH HOMESTORE The Commission, the United States Attorney's Office in Los Angeles, and the Federal Bureau of Investigation jointly announced the filing of civil and criminal complaints against Thomas A. Sebastian, the former chief financial officer of L90, Inc., a former internet advertising firm now known as MaxWorldwide, Inc. The civil and criminal actions allege that Sebastian participated in a scheme to generate fraudulent revenues through advertising barter transactions with other Internet companies in order to meet securities analysts' revenue estimates. At the time of the offenses, L90 was based in Santa Monica and Marina del Rey, California, and its stock was traded on the NASDAQ National Market System. According to the allegations in the Commission's complaint and the criminal complaint, L90, through its subsidiary webMillion.com, engaged in a series of advertising barter transactions with other Internet companies, swapped checks with those companies for the purported "value" of the bartered advertising, and fraudulently recorded those amounts as revenue without disclosing that they resulted from barter transactions. Frequently, L90 inserted a sham third party into the check swap in order to hide the true nature of the barter transaction from its auditors and the investing public. Sebastian concealed the use of the third party from L90's auditor and made false representations to the auditor about L90's financial statements. He also signed L90's Form 10-K and Forms 10- Q that were filed with the Commission containing false and misleading financial information. Furthermore, Sebastian made false and misleading statements concerning L90's revenue numbers on quarterly conference calls with analysts and investors. Through the fraudulent barter transactions, L90 overstated its revenues in the third quarter of 2000 through the third quarter of 2001 by at least $4.3 million, or 7.9 percent overall, and by as much as 29 percent in one quarter. As a result, L90 was able to meet analysts' revenue estimates in all but one of these quarters. Sebastian, a 39-year-old resident of Virginia, was L90's CFO from July 1999 until he was placed on administrative leave on March 10, 2002. He resigned on March 19, 2002. The criminal complaint, which was filed September 24, 2003, in United States District Court in Los Angeles, charges Sebastian with conspiring to commit securities fraud, a charge that carries a maximum of five years imprisonment. Sebastian will be summoned to appear in federal court in Los Angeles on October 21. The Commission's complaint, which was filed September 25, 2003, in United States District Court in Los Angeles, alleges that Sebastian violated or aided and abetted violations of numerous provisions of the federal securities laws, including the antifraud provisions of Section 17(a) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder; the reporting provisions of Section 13(a) of the Exchange Act and Rules 12b-20, 13a-1, and 13a-13 thereunder; the record-keeping provisions of Exchange Act Rule 13b2-1; the internal control provisions of Section 13(b)(5) of the Exchange Act; and the lying to the auditors provisions of Exchange Act Rule 13b2-2. The Commission is seeking a permanent injunction, disgorgement of all ill-gotten gains, a civil penalty, and an order barring Sebastian from serving as an officer or director of a public company. The Commission and the United States Attorney's Office previously charged three former L90 officers for their involvement in the fraudulent barter scheme. John C. Bohan, L90's former CEO, president, and board member; Mark D. Roah, L90's former senior vice president of business development and board member; and Lucrezia Bickerton, L90's former vice president of finance, all pleaded guilty to criminal charges and settled with the Commission without admitting or denying the Commission's allegations. Bohan is scheduled to be sentenced in late January by United States District Judge Percy Anderson; Roah and Bickerton are scheduled to be sentenced in February. Two of L90's fraudulent round-trip transactions involved Homestore.com, Inc. In previous actions, the Commission has charged a total of 11 individuals for their roles in a scheme to inflate Homestore's on-line advertising revenues. Seven of those individuals have also been criminally charged by the United States Attorney's Office in Los Angeles. That investigation remains ongoing. The Commission also previously ordered MaxWorldwide, Inc., formerly known as L90, Inc., to cease and desist from violating the reporting, record keeping, and internal control provisions of the federal securities laws. The Commission found, among other things, that L90 materially overstated its revenues in 2000 and 2001 as a result of the improper barter transactions. MaxWorldwide consented to the entry of the order without admitting or denying the Commission's findings. [SEC v. Thomas A. Sebastian, LACV 03-6909 SVW (FMOx) (C.D. Cal.)]; (LR-18364; AAE Rel. 1874) COMMISSION FILES SUBPOENA ENFORCEMENT ACTION AGAINST JONATHAN FINK The Commission today announced that on September 25 it filed an action in Massachusetts federal court to enforce a subpoena against Jonathan G. Fink, of Beverly Hills, California. The Commission's Application alleges that, on June 2, 2003, the Commission served Fink with a subpoena requiring him to appear for testimony on July 1, 2003. At Fink's request, the Commission staff rescheduled Fink's testimony for July 16, 2003. Fink appeared for testimony on July 16; however, his testimony was not completed that day. As a result, Fink and Commission staff agreed to reconvene his testimony on August 28 and 29. Fink never appeared for testimony on those dates, claiming that he was ill. As of the date of the Commission's filing, Fink had not responded to the staff's requests that he provide documentary evidence concerning his purported illness, nor had he proposed new alternative dates for reconvening his testimony. In its Application, the Commission alleges that, on April 15, 2003, the Commission issued a formal order of private investigation entitled In the Matter of Converge Global, Inc. Pursuant to the formal order, Commission staff began investigating a possible stock manipulation scheme related to Converge Global, Inc., a Florida-based holding company that purports to sell telecommunications products through TeleWrx, Inc., its sole operating subsidiary. Between at least March and June 2002, Converge and others disseminated spam e-mails and press releases projecting the explosive growth and success of TeleWrx's network marketing program. Among other things, Converge's trading volume increased 443%, on the day following issuance of one of the press releases. On June 26, 2002, Fink admitted, during a telephone interview with Commission staff, that he helped to draft at least some of Converge's press releases. Fink is also a purported "consultant" to Converge and, as such, appears to have received, and distributed, a significant amount of Converge shares during the period at issue. The Commission alleges in the Application that it requires the continuation of Fink's testimony to determine his potential role with respect to the Converge press releases and the potential manipulation scheme related to trading in Converge common stock between at least March and June 2002. Pursuant to its Application, the Commission is seeking an order directing Fink to show cause why he should not comply with the Commission's subpoena and/or an order compelling Fink to appear for testimony. The Commission's action has been assigned to the Honorable Rya W. Zobel, District Court Judge. [SEC v. Jonathan G. Fink, USDC for the District of Massachusetts, 03-MBD-10291 (RWZ)] (LR-18369) SEC SETTLES ACCOUNTING FRAUD CASE AGAINST FORMER PRESIDENT OF OAKGRIGSBY, INC. The Commission announced today that on September 12 an Illinois federal court entered, by consent, an order permanently enjoining defendant James C. Horne, of Lake Bluff, Illinois, from future violations of the antifraud, periodic reporting, books and records and internal accounting controls provisions of the federal securities laws. The order also holds Horne liable for disgorgement and interest totaling almost $100,000, but waives payment of all but $20,000, and does not impose a penalty, based on Horne's sworn representations and other documents submitted concerning his financial condition. At the time of the conduct at issue, Horne was the president of OakGrigsby, Inc., a Sugar Grove, Illinois company that was a division of Oak Industries, Inc., headquartered in Waltham, Massachusetts. The Commission's complaint, filed on September 27, 2000, alleged that, between July 1995 and January 1997, defendants Horne and Matthew R. Welch, the former controller of OakGrigsby, conspired to fraudulently conceal OakGrigsby's operating expenses such as salaries, shipping and travel. OakGrigsby's results were consolidated with those of other Oak divisions and incorporated into Oak's periodic Commission filings and press releases. As a result of Horne and Welch's actions, Oak's income per share for the fourth quarter of 1995 and for the first three quarters of 1996 were materially overstated. According to the Complaint, the defendants were, at least in part, motivated to undertake the scheme in order to ensure that OakGrigsby met specified earnings targets, which allowed Horne to earn a bonus of $55,000 for 1995. The disgorgement ordered by the Court was of Horne's 1995 bonus. Welch has previously settled the Commission's action. The Commission's complaint charged Horne with, and the Court permanently enjoined Horne from, violating Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder (antifraud provisions), Exchange Act Rule 13b2-1 (prohibiting falsification of issuer books and records), and aiding and abetting violations of Sections 13(a), 13(b)(2)(A) and 13(b)(2)(B) of the Exchange Act and Rules 12b-20, 13a-1 and 13a-13 thereunder (issuer reporting, books and records and internal accounting controls provisions). The order, entered by the Honorable Ronald A. Guzm?n, held Horne liable for disgorgement of $55,000, plus prejudgment interest of $39,574, or a total of $94,574, but waived payment of all but $20,000 based on Horne's financial condition. [SEC v. James C. Horne, United States District Court for the Northern District of Illinois, Civ. No. 00-C-5935] (LR-18370; AAE Rel. 1876) SEC SUES SPORT-HALEY, INC. AND CURRENT AND FORMER OFFICERS The Commission today filed civil fraud charges against Sport-Haley, Inc., Robert G. Tomlinson, the company's current chairman and former chief executive officer, and Steve S. Auger, the company's former controller, alleging that they materially misstated the company's financial statements during its 1998, 1999, and 2000 fiscal years by improperly accounting for inventory, period costs, and losses on sales of headwear equipment. The Commission's lawsuit, which was brought in federal court in the District of Colorado, seeks anti-fraud injunctions, civil money penalties, disgorgement of ill-gotten gains and, as to Tomlinson and Auger, permanent bars from service as an officer or director of a public company. The Commission's complaint alleges the following: Sport-Haley materially overstated inventory in its financial statements during its 1998 and 1999 fiscal years. Tomlinson and Auger knowingly concealed that inventory was materially overstated by $1.2 million at June 30, 1999 and agreed to eliminate the overstated inventory by writing the inventory off at the rate of $100,000 per month during its 2000 fiscal year. Sport-Haley failed to disclose the inventory overstatement or the company's elaborate measures to adjust the financial statements for the overstatement. Sport-Haley materially understated expenses related to period costs in financial statements filed with the Commission during its 1998 and 1999 fiscal years and first three quarters of 2000. Tomlinson and Auger knowingly or recklessly allowed the company to materially misstate losses on the sale of headwear equipment in Sport-Haley's 1999 year-end financial statements and quarterly financial statements during the first three quarters of its 2000 fiscal year. Tomlinson and Auger reviewed and signed filings with the Commission that they knew or were reckless in not knowing contained false financial statements. The Commission's complaint seeks an order against all defendants enjoining them from further violations of the antifraud, reporting, books-and-records, and internal controls provisions of the federal securities laws; imposing civil money penalties; and ordering disgorgement of all ill-gotten gains. The Commission further seeks orders against Tomlinson and Auger permanently barring them from acting as a director or officer of a publicly held company. [SEC v. Sport- Haley, Inc., Robert G. Tomlinson, and Steve S. Auger, Civil Action No. 03-Z-1917(CBS) (D. Co.)] (LR-18371; AAE Rel. 1877) SECURITIES AND EXCHANGE COMMISSION FILES SUBPOENA ENFORCEMENT ACTION AGAINST KENNETH LAY Former Enron Chairman and Chief Executive Officer Refuses to Produce Documents on Fifth Amendment Grounds The Commission today announced the filing of a subpoena enforcement action in the U.S. District Court for the District of Columbia against Kenneth L. Lay, the former Chairman and Chief Executive Officer of Enron Corp. Lay has refused to produce documents lawfully subpoenaed by the Commission on the grounds that his act of producing certain documents responsive to the subpoena would violate his Fifth Amendment rights. The Commission seeks a court order requiring Lay to comply with the subpoena and requiring him to produce the requested documents. The Commission alleges that Lay was Chairman and CEO of Enron during a period when certain fraudulent activities were carried out by Enron and its employees. The Commission's investigation includes whether Lay had knowledge of, or was involved in, fraudulent activities at Enron. The Commission further alleges that documents in Lay's possession that are related to Enron, and generated during his tenure at Enron, are relevant to matters under investigation and within the scope of the Commission's investigative authority. According to the Commission, the documents being withheld by Lay appear to be corporate records, which Lay may not withhold from production based on any personal rights he may have under the Fifth Amendment. The Commission has requested that the Court order Lay to show cause why he should not comply with the subpoena, and, if appropriate, order Lay to produce the withheld documents for in camera review by the Court. The Commission also seeks such other and further relief as may be necessary and appropriate to achieve compliance with the subpoena. [SEC v. Kenneth L. Lay, Civil Action No. 1:03 MS 01962 (RCL) D.D.C.] (LR- 18372) SEC OBTAINS ORDER COMPELLING VIVENDI UNIVERSAL, S.A. TO ESCROW PAYMENTS TO FORMER CEO JEAN-MARIE MESSIER. COURT ALSO HALTS EFFORTS TO COLLECT ON $23 MILLION JUDGMENT IN MESSIER'S FAVOR. The Commission announced that on September 24 Judge Kevin Thomas Duffy of the United States District Court for the Southern District of New York issued two orders temporarily preventing Vivendi Universal, S.A. (Vivendi) from paying over $23 million to its former CEO, Jean-Marie Messier. The orders require Vivendi to escrow any extraordinary payments that it might otherwise make to Messier and they temporarily enjoin any efforts that seek to execute on a judgment regarding the $23 million that Messier obtained in New York State Court. The orders are the result of an application that the SEC made on September 16, 2003 for an escrow order pursuant to Section 1103 of the Sarbanes-Oxley Act of 2002, and an emergency motion that the SEC filed on September 23, 2003 to halt Messier's efforts to collect on the state court judgment. Section 1103 of the Sarbanes-Oxley Act authorizes the Commission to seek such a temporary order during an investigation into possible securities laws violations by a public company, or an officer, director, or other affiliate of a public company. Pursuant to the temporary order, the public company must escrow "extraordinary payments" that the public company likely may make to an officer, director, or affiliate. The SEC's staff has been investigating possible violations of the federal securities laws by Vivendi and its directors, officers, partners, controlling persons, agents, or employees pursuant to a formal order of private investigation issued by the Commission on November 14, 2002. The SEC filed the Section 1103 application after Messier obtained a judgment in New York State Court on September 11, 2003 enforcing an arbitration panel's decision ordering Vivendi to pay Messier _20,555,342 (or approximately $23 million) pursuant to a termination agreement with Vivendi. After the SEC filed its application for a Section 1103 order, Messier began efforts to collect on the state court judgment. After negotiations between the SEC, Vivendi and Messier to reach an agreement to postpone any further collection efforts failed, the SEC filed a motion on September 23, 2003 seeking an order (1) prohibiting Vivendi and others (including banks) from transferring any assets to Messier, and (2) prohibiting efforts to collect on the state judgment. At a hearing on September 24, 2003, the Court granted both the SEC's application for a Section 1103 order and the SEC's motion prohibiting further efforts to execute on or otherwise collect under the state court judgment. The Section 1103 order requires Vivendi to place the approximately _20 million in escrow, and will last for 45 days. [SEC v. Vivendi Universal, S.A., Case No. M11-03 (S.D.N.Y.)] (LR-18373) HOLDING COMPANY ACT RELEASES THE SOUTHERN COMPANY, ET AL. An order has been issued authorizing Southern Power Company, a wholly- owned, public utility company subsidiary of The Southern Company, a registered holding company, to pay dividends in an amount up to $190 million out of capital or unearned surplus. (Rel. 35-27727) SELF-REGULATORY ORGANIZATIONS APPROVAL OF PROPOSED RULE CHANGE The Commission approved a proposed rule change and granted accelerated approval to Amendment No. 3 to the proposed rule change submitted by the Pacific Exchange (SR-PCX-2002-01) relating to procedures for obvious errors in options transactions. (Rel. 34-48538) PROPOSED RULE CHANGE The Chicago Board Options Exchange a proposed rule change (SR-CBOE-2003- 31) relating to audit committee requirements applicable to companies listing non-option securities. Publication of the notice is expected in the Federal Register during the week of September 29. (Rel. 34-48540) SECURITIES ACT REGISTRATIONS The following registration statements have been filed with the SEC under the Securities Act of 1933. The reported information appears as follows: Form, Name, Address and Phone Number (if available) of the issuer of the security; Title and the number and/or face amount of the securities being offered; Name of the managing underwriter or depositor (if applicable); File number and date filed; Assigned Branch; and a designation if the statement is a New Issue. Registration statements may be obtained in person or by writing to the Commission's Public Reference Branch at 450 Fifth Street, N.W., Washington, D.C. 20549 or at the following e-mail box address: . In most cases, this information is also available on the Commission's website: . S-8 COMMUNITY BANCORP INC, 130 WEST FALLBROOK STREET, FALLBROOK, CA, 92028, 7607238811 - 125,000 ($2,375,000.00) Equity, (File 333-109136 - Sep. 26) (BR. 07) S-8 COMMERCEFIRST BANCORP INC, 4102806673 - 118,337 ($1,183,370.00) Equity, (File 333-109138 - Sep. 26) (BR. 07) S-3 MERIDIAN BIOSCIENCE INC, 3471 RIVER HILLS DR, CINCINNATI, OH, 45244, 5132713700 - 1,000,000 ($9,920,000.00) Equity, 0 ($60,000,000.00) Unallocated (Universal) Shelf, (File 333-109139 - Sep. 26) (BR. 01) S-8 WILLIS LEASE FINANCE CORP, 2320 MARINSHIP WAY, STE 300, SAUSALITO, CA, 94965, 4153315281 - 0 ($2,850,000.00) Equity, (File 333-109140 - Sep. 26) (BR. 06) SB-2 ELECTRONIC CORPORATE FILING SERVICES INC, 2226 CAMINITO TASQUILLO, ., LAGUNA HILLS, CA, 92653, 949-235-0198 - 3,000,000 ($600,000.00) Equity, (File 333-109141 - Sep. 26) (BR. 03) S-2 ODYSSEY MARINE EXPLORATION INC, PO BOX 320057, 3604 SAWANN AVE, TAMPA, FL, 33609, 8132820855 - 11,377,963 ($41,131,336.25) Equity, (File 333-109142 - Sep. 26) (BR. 08) S-3 CITIFINANCIAL MORTGAGE SECURITIES INC, 300 ST PAUL PLACE, BALTIMORE, MD, 21202, 4103323607 - 0 ($1,000,000,000.00) Other, (File 333-109143 - Sep. 26) (BR. 07) S-11 PERMANENT FUNDING NO 1 LTD, BLACKWELL HOUSE, GUILDHALL YARD, LONDON EC2V 5AE UNITED KINGDOM, X0, 00000, 44-20-7556-0972 - 0 ($3,250,000,000.00) Mortgage Backed Securities, (File 333-109144 - Sep. 26) (BR. 05) S-8 TWO MOONS KACHINAS CORP, 9005 COBBLE CANYON LANE, SANDY, UT, 84093, 8019420555 - 80,500 ($20,125.00) Equity, (File 333-109145 - Sep. 26) (BR. 05) S-4 EMPIRE RESORTS INC, RT 17B, P.O. BOX 5013, MONTICELLO, NY, 12701, (845) 794-4100 - 17,016,746 ($4,619,535.00) Equity, (File 333-109146 - Sep. 26) (BR. 05) S-8 COMMONWEALTH INDUSTRIES INC/DE/, 500 WEST JEFFERSON STREET, PNC PLAZA - 19TH FLOOR, LOUISVILLE, KY, 40202-2823, 502-589-8100 - 1,000,000 ($4,920,000.00) Equity, (File 333-109147 - Sep. 26) (BR. 06) S-3 SOCKET COMMUNICATIONS INC, 37400 CENTRAL COURT, NEWARK, CA, 94560, 5107442700 - 2,491,163 ($6,028,614.46) Equity, (File 333-109150 - Sep. 26) (BR. 03) S-8 INNOVO GROUP INC, 5900 S. EASTERN AVENUE, SUITE 104, COMMERCE, CA, 90040, 3237255516 - 2,000,000 ($12,990,000.00) Equity, (File 333-109151 - Sep. 26) (BR. 02) S-8 NORTHWEST GOLD INC, 877 N 8TH WEST, GLEN L LARSEN BLDG, RIVERTON, WY, 82501, 3078569271 - 400,000 ($164,000.00) Equity, (File 333-109152 - Sep. 26) (BR. 37) SB-2 VIRTGAME COM CORP, 6969 CORTE SANTA FE, SUITE A, SAN DIEGO, CA, 92121-3270, 858-373-5001 - 22,863,594 ($13,946,792.00) Equity, (File 333-109153 - Sep. 26) (BR. 03) S-8 ASML HOLDING NV, DE RUN 1110, LA VELDHOVEN NE, P7, 5503, 3140580800 - 975,150 ($10,034,577.18) Equity, (File 333-109154 - Sep. 26) (BR. 36) S-8 WELLCHOICE INC, 11 WEST 42ND ST, NEW YORK, NY, 10036, 2124761000 - 9,250,000 ($296,370,000.00) Other, (File 333-109155 - Sep. 26) (BR. 01) S-4 CERTEGY INC, 555 NORTH POINT CENTRE EAST, SUITE 300, ALPHARETTA, GA, 30022, 6788678000 - 0 ($200,000,000.00) Non-Convertible Debt, (File 333-109156 - Sep. 26) (BR. 08) S-3 TOWN & COUNTRY TRUST, 100, 100 SOUTH CHARLES STREET, BALTIMORE, MD, 21201, 4105397600 - 74,750,000 ($74,750,000.00) Debt Convertible into Equity, (File 333-109157 - Sep. 26) (BR. 08) S-8 RAIT INVESTMENT TRUST, 1818 MARKET ST, 28TH FL, PHILADELPHIA, PA, 19103, 2155465119 - 134,784 ($3,221,337.60) Equity, (File 333-109158 - Sep. 26) (BR. 08) SB-2 ENCISION INC, 4828 STERLING DR, BOULDER, CO, 80302, 3034442600 - 0 ($1,283,336.00) Equity, (File 333-109159 - Sep. 26) (BR. 01) S-8 BIOPHAN TECHNOLOGIES INC, 150 LUCIUS GORDON DR, STE 215, WEST HENRIETTA, NY, 14586, 5852142441 - 1,000,000 ($190,000.00) Equity, (File 333-109160 - Sep. 26) (BR. 36) S-4 DANKA BUSINESS SYSTEMS PLC, 11201 DANKA CIRCLE N, ST PETERSBURG, FL, 33716, 7275766003 - 0 ($170,998,688.00) Non-Convertible Debt, (File 333-109161 - Sep. 26) (BR. 02) S-8 CHESAPEAKE ENERGY CORP, 6100 N WESTERN AVE, OKLAHOMA CITY, OK, 73118, 4058488000 - 17,500,000 ($173,860,547.00) Equity, (File 333-109162 - Sep. 26) (BR. 04) S-8 AMERICAN ACCESS TECHNOLOGIES INC, 6670 SPRING LAKE ROAD, -, KEYSTONE HEIGHTS, FL, 32656, 3524736673 - 45,000 ($42,300.00) Equity, (File 333-109163 - Sep. 26) (BR. 03) S-3 ARGENT SECURITIES INC, 1100 TOWN & COUNTRY RD, SUITE 1100, ORANGE, CA, 92868, 7145419960 - 0 ($1,000,000.00) Asset-Backed Securities, (File 333-109164 - Sep. 26) (BR. 05) S-4 AIRGATE PCS INC /DE/, 233 PEACHTREE ST NE, SUITE 1700, ATLANTA, GA, 30303, 4045257272 - 0 ($100,000,000.00) Other, (File 333-109165 - Sep. 26) (BR. 37) S-8 WESTERN SILVER LEAD CORP, P O BOX 469, WALLACE, ID, 83873, 2087521131 - 6,500,000 ($390,000.00) Equity, (File 333-109166 - Sep. 26) (BR. 04) S-3 SOUTHERN COMMUNITY FINANCIAL CORP, 4701 COUNTRY CLUB RD, WINSTON-SALEM, NC, 27104, 3367688500 - 0 ($34,500,000.00) Non-Convertible Debt, (File 333-109167 - Sep. 26) (BR. 07) S-4 SOUTHERN COMMUNITY FINANCIAL CORP, 4701 COUNTRY CLUB RD, WINSTON-SALEM, NC, 27104, 3367688500 - 0 ($59,344,351.00) Equity, (File 333-109168 - Sep. 26) (BR. 07) S-1 KINTERA INC, 0 ($57,500,000.00) Equity, (File 333-109169 - Sep. 26) (BR. ) S-8 CERUS CORP, 2411 STANWELL DR, CONCORD, CA, 94520, 9252886000 - 0 ($4,112,000.00) Equity, (File 333-109170 - Sep. 26) (BR. 01) S-3 GRIFFON CORP, 100 JERICHO QUADRANGLE, JERICHO, NY, 11753, 5169385544 - 0 ($130,000,000.00) Other, (File 333-109171 - Sep. 26) (BR. 06) S-3 LIGAND PHARMACEUTICALS INC, 10275 SCIENCE CENTER DRIVE, SAN DIEGO, CA, 92121-1117, 8585507500 - 3,483,593 ($43,928,107.73) Equity, (File 333-109172 - Sep. 26) (BR. 01) S-8 JONES SODA CO, 234 9TH AVE NORTH, SEATTLE, WA, 98109, 8006566050 - 1,537,500 ($1,129,625.00) Equity, (File 333-109173 - Sep. 26) (BR. 02) S-3 LOUDEYE CORP, 1130 RAINIER AVENUE SOUTH, STE 000, SEATTLE, WA, 98144, 2068324000 - 17,358,553 ($37,841,645.54) Equity, (File 333-109174 - Sep. 26) (BR. 03) SB-2 MICROISLET INC, 6370 NANCY RIDGE DRIVE, SUITE 112, SAN DIEGO, CA, 92121, 858-657-0287 - 1,033,934 ($630,700.00) Equity, (File 333-109175 - Sep. 26) (BR. 01) S-8 MICROISLET INC, 6370 NANCY RIDGE DRIVE, SUITE 112, SAN DIEGO, CA, 92121, 858-657-0287 - 4,370,649 ($3,814,137.00) Equity, (File 333-109177 - Sep. 26) (BR. 01) S-3 VION PHARMACEUTICALS INC, 4 SCIENCE PARK, NEW HAVEN, CT, 06511, 2034984210 - 13,050,000 ($27,250,750.00) Equity, (File 333-109178 - Sep. 26) (BR. 01) S-3 GENZYME CORP, ONE KENDALL SQ, CAMBRIDGE, MA, 02139, 6172527500 - 0 ($763,276.22) Equity, (File 333-109179 - Sep. 26) (BR. 01) S-8 GLOBAL BUSINESS MARKETS INC, 1180 SPRING CENTRE SOUTH BLVD., SUITE 310, ALTA MONTE SPRINGS, FL, 32714, 407-884-6859 - 250,000,000 ($40,000.00) Other, (File 333-109180 - Sep. 26) (BR. 02) S-8 CENTURYTEL INC, P O BOX 4065, 100 CENTURYTEL DR, MONROE, LA, 71203, 3183889000 - 5,000,000 ($84,900,000.00) Equity, (File 333-109181 - Sep. 26) (BR. 37) S-3 CATERPILLAR FINANCIAL SERVICES CORP, 2120 WEST END AVE, NASHVILLE, TN, 37203, 6153418462 - 8,000,000,000 ($8,000,000,000.00) Non-Convertible Debt, (File 333-109182 - Sep. 26) (BR. 36) S-3 AVANEX CORP, 40919 ENCYCLOPEDIA CIRCLE, FREMONT, CA, 94538, 5108974172 - 1,371,430 ($7,412,579.10) Equity, (File 333-109183 - Sep. 26) (BR. 36) S-3 CHEMICAL FINANCIAL CORP, 333 E MAIN ST, MIDLAND, MI, 48640, 5176313310 - 300,000 ($9,978,000.00) Equity, (File 333-109184 - Sep. 26) (BR. 07) S-8 MICROSOFT CORP, ONE MICROSOFT WAY #BLDG 8, NORTH OFFICE 2211, REDMOND, WA, 98052, 4258828080 - 286,000 ($8,311,160.00) Equity, (File 333-109185 - Sep. 26) (BR. 03) S-8 SANDISK CORP, 140 CASPIAN COURT, SUNNYVALE, CA, 94089, 4085620500 - 0 ($225,997,803.75) Equity, (File 333-109186 - Sep. 26) (BR. 03) S-3 WORKSTREAM INC, 495 MARCH RD STE 300, OTTAWA ONTARIO, CANADA K2K 3G2, A6, 00000, 6132362263 - 1,900,003 ($3,125,504.94) Equity, (File 333-109187 - Sep. 26) (BR. 08) S-3 MAGNUM HUNTER RESOURCES INC, 600 E LAS COLINAS BLVD, STE 1200, IRVING, TX, 75039, 9724010752 - 0 ($238,325,000.00) Unallocated (Universal) Shelf, (File 333-109188 - Sep. 26) (BR. 04) S-8 METRO ONE TELECOMMUNICATIONS INC, 11200 MURRAY SCHOLLS PLACE, BEVERTON, OR, 97007, 5036439500 - 0 ($937,500.00) Equity, (File 333-109189 - Sep. 26) (BR. 37) N-2 FRANKLIN TEMPLETON LIMITED DURATION INCOME TRUST, 0 ($250,000.00) Equity, (File 333-109190 - Sep. 26) (BR. 18) S-8 SCIENTIFIC LEARNING CORP, 300 FRANK H. OGAWA PLAZA, STE 500, OAKLAND, CA, 94612-2040, 5104443500 - 1,425,000 ($2,583,000.00) Equity, (File 333-109191 - Sep. 26) (BR. 08) S-4 GLOBAL ENTERTAINMENT CORP, 4909 E MCDOWELL ROAD, #104, PHOENIX, AZ, 85008, 4809940772 - 0 ($3,590,330.00) Equity, (File 333-109192 - Sep. 26) (BR. ) S-8 MELLON FINANCIAL CORP, ONE MELLON BANK CTR, 500 GRANT ST, PITTSBURGH, PA, 15258-0001, 4122345000 - 0 ($125,000,000.00) Other, (File 333-109193 - Sep. 26) (BR. 07) S-1 NTL INC, 110 E 59TH ST, 26TH FLOOR, NEW YORK, NY, 10022, 2129068440 - 0 ($1,050,000,000.00) Equity, (File 333-109194 - Sep. 26) (BR. 37) S-4 MOORE WALLACE INC, 6100 VIPOND DRIVE, MISSISSAUGA, ONTARIO, A6, L5T 2X1, 905 362-3100 - 0 ($400,174,970.00) Non-Convertible Debt, (File 333-109195 - Sep. 26) (BR. 05) S-4 BIOVERIS CORP, 0 ($239,160,000.00) Equity, (File 333-109196 - Sep. 26) (BR. ) S-8 MATERIAL TECHNOLOGIES INC /CA/, 11661 SAN VICENTE BOULEVARD, SUITE 707, LOS ANGELES, CA, 90049, 3102085589 - 10,000,000 ($17,600,000.00) Equity, (File 333-109198 - Sep. 26) (BR. 36) RECENT 8K FILINGS Form 8-K is used by companies to file current reports on the following events: Item 1. Changes in Control of Registrant. Item 2. Acquisition or Disposition of Assets. Item 3. Bankruptcy or Receivership. Item 4. Changes in Registrant's Certifying Accountant. Item 5. Other Materially Important Events. Item 6. Resignations of Registrant's Directors. Item 7. Financial Statements and Exhibits. Item 8. Change in Fiscal Year. Item 9. Regulation FD Disclosure. Item 10. Amendments to the Registrant's Code of Ethics, or Waiver of a Provision of the Code of Ethics. Item 11. Temporary Suspension of Trading Under Registrant's Employee Benefit Plans. Item 12. Results of Operations and Financial Condition. The following companies have filed 8-K reports for the date indicated and/or amendments to 8-K reports previously filed, responding to the item(s) of the form specified. 8-K reports may be obtained in person or by writing to the Commission's Public Reference Branch at 450 Fifth Street, N.W., Washington, D.C. 20549 or at the following e-mail box address: . In most cases, this information is also available on the Commission's website: . STATE 8K ITEM NO. NAME OF ISSUER CODE 1 2 3 4 5 6 7 8 9 10 11 12 13 DATE COMMENT ------------------------------------------------------------------------------------------------ ABN AMRO MORT CORP MULTI CLASS MORT P DE X 09/01/03 ABN AMRO MORTGAGE CORP DE X X 09/26/03 ACCRUE SOFTWARE INC DE X X 09/24/03 ACRES GAMING INC NV X X 09/26/03 ACTION PERFORMANCE COMPANIES INC AZ X X X 09/25/03 ACTRADE FINANCIAL TECHNOLOGIES LTD DE X X 09/25/03 ADSTAR INC DE X X 09/23/03 AIRGATE PCS INC /DE/ DE X X 09/24/03 AIRPLANES LTD DE X 09/26/03 AIRTRAN HOLDINGS INC NV X X 09/25/03 ALLEGHENY ENERGY INC MD X X 09/25/03 ALLEGHENY ENERGY INC MD X X 09/26/03 AMERICAN SPECTRUM REALTY INC MD X X 09/25/03 AMERICAN SUPERCONDUCTOR CORP /DE/ DE X 09/23/03 AMERON INTERNATIONAL CORP DE X 09/24/03 AMN HEALTHCARE SERVICES INC DE X X 09/26/03 APOGENT TECHNOLOGIES INC WI X X 09/25/03 ARCH WIRELESS INC DE X 09/26/03 ARCHSTONE SMITH TRUST CO X 09/25/03 ASCENTIAL SOFTWARE CORP DE X X 09/12/03 ASP VENTURES CORP X X 09/25/03 ASSET BACKED SEC CORP HOME EQU LOAN T DE X X 09/15/03 ATLAS MINERALS INC CO X 09/25/03 ATS MEDICAL INC MN X X 07/09/03 AUSPEX SYSTEMS INC DE X X X 09/23/03 AVANEX CORP DE X X 09/26/03 BALDWIN TECHNOLOGY CO INC DE X X 09/26/03 BANC OF AMERICA FUNDING CORP DE X X 09/25/03 BANC OF AMERICA FUNDING CORP MORT PAS DE X X 09/20/03 BANK MUTUAL CORP X X 09/25/03 BARRY R G CORP /OH/ OH X X 09/16/03 BEAR STEARNS ASSET BACKED FUNDING II DE X 09/24/03 BEAR STEARNS ASSET BACKED FUNDING II DE X X 09/24/03 BEAR STEARNS ASSET BACKED FUNDING II DE X X 09/24/03 BEAR STEARNS ASSET BACKED FUNDING II DE X X 09/24/03 BEAR STEARNS COMMERCIAL MORTGAGE SECU DE X X 09/25/03 BIRDS EYE FOODS INC DE X 09/26/03 BRISTOL MYERS SQUIBB CO DE X X 09/26/03 BROMWELL FINANCIAL FUND LP DE X X 09/22/03 BUSINESS BANCORP /CA/ CA X X 09/26/03 CALPINE CORP DE X 09/25/03 CANTERBURY CONSULTING GROUP INC PA X 09/17/03 CARCO AUTO LOAN MASTER TRUST DE X X 09/15/03 CHARTER COMMUNICATIONS HOLDINGS LLC DE X X 09/25/03 CHARTER COMMUNICATIONS INC /MO/ DE X X 09/25/03 CHINA WORLD TRADE CORP NV X X X 09/08/02 AMEND CITICORP MORTGAGE SECURITIES INC DE X 09/25/03 CLAYTON HOMES INC DE X X 09/26/03 CNB FINANCIAL CORP/PA PA X X 09/25/03 CNB HOLDINGS INC /GA/ X X 09/24/03 COMMERCIAL CAPITAL BANCORP INC NV X X 09/26/03 COMMERCIAL MORTGAGE PASS THROUGH CERT DE X X 09/15/03 CREDIT SUISSE FIRST BOSTON MOR SEC CO DE X X 09/15/03 CSFB MORTGAGE SEC CORP COMM MORT PASS DE X X 09/15/03 CSFB MORTGAGE SEC CORP COMM MORT PS T DE X X 09/25/03 DAIMLERCHRYSLER AUTO TRUST 2003-A MI X X 09/08/03 DAIMLERCHRYSLER MASTER OWNER TRUST X X 09/15/03 DATAKEY INC MN X X 09/25/03 DECORIZE INC DE X X 09/26/03 DECORIZE INC DE X X 09/26/03 DELTA WOODSIDE INDUSTRIES INC /SC/ SC X X X 09/26/03 DIEDRICH COFFEE INC CA X 09/26/03 DIRECTV HOLDINGS LLC DE X X 09/24/03 DNAPRINT GENOMICS INC UT X X 09/19/03 DOLLAR THRIFTY AUTOMOTIVE GROUP INC DE X 09/26/03 DONEGAL GROUP INC DE X 09/26/03 ELECTRO RENT CORP CA X 09/26/03 ENCORE CAPITAL GROUP INC DE X 09/26/03 ENDOCARE INC DE X X 09/26/03 ENVIROKARE TECH INC NV X 09/26/03 ESCALON MEDICAL CORP DE X X 09/26/03 ESPEY MFG & ELECTRONICS CORP NY X 09/22/03 EVANS BOB FARMS INC DE X X 09/26/03 EXX INC/NV/ NV X X 09/22/03 FEDERAL SIGNAL CORP /DE/ DE X X 09/24/03 FERRELLGAS PARTNERS L P DE X 09/25/03 FINANCIAL SECURITY ASSURANCE HOLDINGS NY X X 09/22/03 FIRST BANCORP /PR/ PR X X 09/25/03 FIRST FEDERAL BANCSHARES OF ARKANSAS TX X X 09/26/03 FIRST HORIZON ASSET SECURITIES INC DE X X 09/25/03 FIRST HORIZON ASSET SECURITIES INC DE X X 08/25/03 FIRST UNION COM MOR SEC INC COM MOR P NY X X 09/25/03 FIRST UNION COMMERCIAL MORTGAGE PASS NC X X 09/25/03 FIRST UNION NATIONAL BANK COM MORT PA NC X X 09/25/03 FISHER SCIENTIFIC INTERNATIONAL INC DE X 09/25/03 FRANKLIN WIRELESS CORP CA X X X 08/26/03 FURRS RESTAURANT GROUP INC DE X X 09/03/03 FURRS RESTAURANT GROUP INC DE X X 09/11/03 GENELABS TECHNOLOGIES INC /CA CA X X 09/26/03 GENERAL MAGIC INC DE X 09/26/03 GETTY REALTY CORP /MD/ MD X 09/26/03 GLOBALSTAR LP DE X X 09/24/03 GLYCOGENESYS INC NV X X 09/26/03 GREAT LAKES BANCORP INC DE X X 09/26/03 HARBORVIEW MORTGAGE LOAN TRUST 2003 1 DE X X 09/19/03 HARVEST NATURAL RESOURCES INC DE X X 09/25/03 HOLLIS EDEN PHARMACEUTICALS INC /DE/ DE X X 09/26/03 HORIZON GROUP PROPERTIES INC MD X X 09/26/03 HOUSEHOLD AFFINITY CREDIT CARD MASTER DE X 09/15/03 HOUSEHOLD AUTO RECEIVABLES CORP ASSET NV X 09/18/03 HOUSEHOLD AUTO RECEIVABLES CORP SERIE NV X 09/18/03 HOUSEHOLD AUTOMOTIVE TRUST 2001-1 DE X 09/17/03 HOUSEHOLD AUTOMOTIVE TRUST 2001-3 X 09/18/03 HOUSEHOLD AUTOMOTIVE TRUST 2002-1 X 09/17/03 HOUSEHOLD AUTOMOTIVE TRUST 2003-1 NV X 09/18/02 HOUSEHOLD AUTOMOTIVE TRUST III SERIES NV X 09/17/03 HOUSEHOLD AUTOMOTIVE TRUST IV SERIES DE X 09/18/03 HOUSEHOLD AUTOMOTIVE TRUST SERIES 200 DE X 09/18/03 HOUSEHOLD AUTOMOTIVE TRUST V SERIES 2 DE X 09/17/03 HOUSEHOLD AUTOMOTIVE TRUST VI SERIES NV X 09/18/03 HUMANA INC DE X 09/26/03 HYPERION SOLUTIONS CORP DE X X 09/26/03 IMAGIS TECHNOLOGIES INC A1 X 09/18/03 IMCO RECYCLING INC DE X X X 09/25/03 INDYMAC MBS INC X X 09/25/03 INDYMAC MBS INC X X 09/25/03 INSYNQ INC DE X 09/22/03 INTERFACE INC GA X 09/26/03 INTERMOUNTAIN REFINING CO INC NM X 09/17/03 AMEND IRON AGE CORP DE X X 09/26/03 IRON AGE CORP DE X X 09/26/03 IRON AGE HOLDINGS CORP DE X X 09/26/03 IRON AGE HOLDINGS CORP DE X X 09/26/03 ISONICS CORP CA X X 09/25/03 JARDEN CORP DE X X 09/25/03 KAANAPALI LAND LLC X X 09/09/03 KANSAS CITY SOUTHERN DE X X 09/26/03 KEYSPAN CORP NY X X 09/26/03 KFX INC DE X 09/11/03 KOPPERS INC PA X 09/26/03 KV PHARMACEUTICAL CO /DE/ DE X X 09/25/03 LECROY CORP DE X X X 09/25/03 LIFECELL CORP DE X 09/22/03 LIVEPERSON INC DE X 09/26/03 LL&E ROYALTY TRUST TX X X X 09/26/03 LMI AEROSPACE INC MO X X 09/22/03 MERITAGE CORP MD X X 09/25/03 METROCALL HOLDINGS INC DE X X 09/25/03 METROMEDIA INTERNATIONAL GROUP INC DE X X 09/25/03 METROPOLITAN HEALTH NETWORKS INC FL X X 09/24/03 MEXICAN RESTAURANTS INC TX X X 09/25/03 MILITARY COMMUNICATIONS TECHNOLOGIES DE X X 08/30/03 MONARCH COMMUNITY BANCORP INC MD X X 09/24/03 MOORE WALLACE INC X X 09/25/03 MOORE WALLACE INC X X 09/25/03 MORGAN STANLEY ABS CAPITAL I INC TRUS DE X X 08/26/03 AMEND MORGAN STANLEY DEAN WITTER CAP I INC DE X X 09/25/03 MORTGAGE ASSET SECURITIZATION TRANSAC DE X 09/26/03 MSB FINANCIAL INC MD X X 09/24/03 NAVISTAR FINANCIAL RETAIL RECEIVABLES DE X 07/31/03 NAVISTAR FINANCIAL SECURITIES CORP DE X 07/31/03 NEW CENTURY FINANCIAL CORP DE X X 09/23/03 NEXTERA ENTERPRISES INC DE X X 09/25/03 NORFOLK SOUTHERN CORP VA X X 09/26/03 NOVITRON INTERNATIONAL INC DE X 09/26/03 NUI CORP /NJ/ NJ X X 09/26/03 OIL DRI CORPORATION OF AMERICA DE X X 09/24/03 OMI CORP/M I X X 09/26/03 ORIGINAL SIXTEEN TO ONE MINE INC /CA/ CA X 03/31/03 OSTEOTECH INC DE X 09/26/03 PARKER DRILLING CO /DE/ DE X X 09/24/03 PAYMENT DATA SYSTEMS INC NV X X 07/25/03 AMEND PENNSYLVANIA REAL ESTATE INVESTMENT T PA X 04/28/03 AMEND PEOPLES BANCORP INC OH X X 09/26/03 PHOTOWORKS INC /WA WA X 09/25/03 PINNACLE FINANCIAL PARTNERS INC TN X X 09/25/03 PIZZA INN INC /MO/ MO X 09/26/03 PORTLAND GENERAL ELECTRIC CO /OR/ OR X 09/26/03 POWER 3 MEDICAL PRODUCTS INC NY X X 09/12/03 POWERBALL INTERNATIONAL INC UT X X 09/22/03 PRETORY USA INC NV X X 09/26/03 PRIMUS KNOWLEDGE SOLUTIONS INC WA X X 09/16/03 PRO FAC COOPERATIVE INC NY X 09/26/03 PRO PHARMACEUTICALS INC NV X 08/25/03 PUBLIC STORAGE INC /CA CA X X 09/25/03 RAYOVAC CORP WI X X 09/26/03 RELIANT RESOURCES INC DE X X 09/11/03 RESIDENTIAL ACCREDIT LOANS INC DE X X 09/26/03 RESIDENTIAL ASSET MORTGAGE PRODUCTS I DE X X 09/26/03 RESIDENTIAL ASSET SECURITIES CORP DE X X 09/26/03 RESIDENTIAL FUNDING MORTGAGE SECURITI DE X X 09/26/03 RESIDENTIAL FUNDING MORTGAGE SECURITI DE X X 09/26/03 RESOLVE STAFFING INC NV X X 09/24/03 RESOURCES CONNECTION INC DE X 07/15/03 AMEND RETURN ON INVESTMENT CORP DE X X 09/26/03 RITE AID CORP DE X X 09/26/03 ROBOTIC VISION SYSTEMS INC DE X 09/22/03 ROWE COMPANIES NV X X 09/22/03 SAKS CREDIT CARD MASTER TRUST NV X 09/15/03 SHELDAHL INC MN X X 09/11/03 SIFCO INDUSTRIES INC 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