Franchise Direct, Inc. and Andrew W. Doney

Litigation Release No. 18269/ August 4, 2003

Securities and Exchange Commission v. Nutrition Superstores.com, Inc., Advanced Wound Care, Inc., Franchise Direct, Inc., Anthony F. Musso, Jr., Jeffery Gill, Wayne Santini and Andrew W. Doney, Case No. 02-81116-CIV-MIDDLEBROOKS (S.D. Fla.)

Final Judgments of Permanent Injunction and Other Relief Against Franchise Direct, Inc. and Andrew Doney

The Securities and Exchange Commission (SEC) announced that on December 12, 2002 and December 17, 2002, the United States District Court for the Southern District of Florida entered Final Judgments of Permanent Injunction and Other Relief (Final Judgments) against Franchise Direct, Inc. (Franchise Direct), a Florida corporation and Andrew Doney (Doney) one of its sales agents, respectively. The Final Judgments, entered by the consents of Franchise Direct and Doney and without admitting or denying the allegations of the SEC's Complaint, enjoin them from violations of Sections 5(a), 5(c) and 17(a) of the Securities Act of 1933, Sections 10(b) and 15(a)(1) of the Securities Exchange Act of 1934, and Rule 10b-5 thereunder. In addition to enjoining Franchise Direct and Doney, the Final Judgments order disgorgement in the amounts of $769,886 and $186,169, respectively, but waive payment of disgorgement and do not impose a civil penalty based on the Sworn Statements of Financial Condition and other supporting documents submitted by Franchise Direct and Doney.

The SEC commenced this action by filing its Complaint on December 10, 2002, against Franchise Direct, Doney and others alleging that Defendants violated the anti-fraud and registration provisions of the federal securities laws in connection with the offer and sale of securities in Nutrition Superstores.Com, Inc. and Advanced Wound Care, Inc. between 1998 and 2001.

See also Litigation Release No. 17888 (December 10, 2002).