Donald Black, et al. v. Mantei & Associates, Ltd., et al.

Columbia, South Carolina civil litigation lawyers represented the Plaintiffs who sued the Defendants on Securities Exchange Act violation theories under 15 U.S.C. 78m.



Mantei & Associates Ltd is a company that operates in the Accounting industry. It employs 1-5 people and has $0M-$1M of revenue. The company is headquartered in Columbia, South Carolina.



Centaurus Financial, Inc. is a leading independent broker/dealer licensed to offer securities, investment advisory services and insurance products ...



J.P. Turner (JPT) is a full-service investment banking and brokerage firm headquartered in Atlanta.





Title 15 U.S.C. § 78m, also known as Section 13(m) of the Securities Exchange Act of 1934, prohibits issuers from repurchasing their own equity securities in contravention of rules and regulations adopted by the Securities and Exchange Commission (SEC). These rules are designed to prevent manipulative and deceptive practices in the repurchase of securities, which can harm investors and distort market prices.



Several theories of Securities Exchange Act violation have been developed under Section 13(m). These theories can be broadly categorized into two groups:



Manipulative Practices:



a. Manipulation of Market Prices: Engaging in transactions or making statements that artificially inflate or depress the market price of an issuer's securities is prohibited.



b. Matching Orders: Coordinating purchases and sales of securities to create a false impression of trading activity or to maintain a predetermined price level is prohibited.



c. Wash Sales: Engaging in transactions where the seller and buyer are essentially the same person, creating the illusion of trading activity and affecting the market price, is prohibited.



Deceptive Practices:



a. Material Misinformation: Issuing false or misleading statements about the issuer's financial condition, repurchase plans, or other relevant matters can constitute a violation.



b. Failure to Disclose Material Information: Failing to disclose material information about the issuer's repurchase plans or other relevant matters can also constitute a violation.



c. Misleading Trading Practices: Engaging in trading practices that create a false impression of the issuer's repurchase activities, such as using nominee accounts to obscure the identity of the buyer, is prohibited.



To establish a violation of Section 13(m), the SEC must prove that the issuer's repurchase activities were:



Done in contravention of the SEC's rules and regulations;



Engaged in with the intent to manipulate or deceive the market; and



Caused actual harm to investors or distorted market prices.



Violations of Section 13(m) can result in significant penalties, including civil fines, disgorgement of profits, and injunctions against future violations. Additionally, individuals involved in violations may face criminal prosecution.

11/08/2023 30 MEMORANDUM OPINION AND ORDER granting 14 Motion to Remand; granting 14 MOTION for Attorney Fees; finding as moot 25 MOTION to Strike. Signed by Honorable Mary Geiger Lewis on 11/8/2023. Clerk's Notice: Attorneys are responsible for supplementing the State Record with all documents filed in Federal Court. (cbru, ) (Entered: 11/08/2023)

11/08/2023 31 ***DOCUMENT E-MAILED: 30 Order on Motion to Strike, Order on Motion to Remand, Order on Motion for Attorney Fees to Lexington County Clerk of Court; ***DOCUMENT MAILED 30 Order on Motion to Strike, Order on Motion to Remand, Order on Motion for Attorney Fees placed in U.S. Mail from Columbia Clerk's Office to The Honorable Lisa M. Comer, Clerk of Court, Lexington County Court of Common Pleas, 205 East Main Street, Suite 128, Lexington, SC 29072 (Attachments: # 1 NEF, # 2 Order) (cbru, ) (Entered: 11/08/2023)

11/22/2023 33 MOTION for Attorney Fees by Donald Black. Response to Motion due by 12/6/2023. Add an additional 3 days only if served by mail or otherwise allowed under Fed. R. Civ. P. 6 or Fed. R. Crim. P. 45. (Attachments: # 1 Affidavit Affidavit of Mitchell Willoughby, # 2 Affidavit Affidavit of John Simmons, # 3 Exhibit Centaurus Financial Report)No proposed order.(Humphrey, Robert) (Entered: 11/22/2023)