SEC Bares Another Securities Fraud
LaGesse, David, American Banker
NEW YORK -- The Parr Securities Corp., a small government securities dealer based in New York City, and its chief executive were charged with fraud Monday by the Securities and Exchange Commission.
Parr Securities, the latest in a string of troubled dealers, has debts to banks and thrifts of some $16 million, the SEC said in a civil complaint filed in U.S. District Court for the Southern District of New York. The SEC said it found assets of $750,000 in Parr's accounts.
The SEC accused Parr's primary owner, Gregory Herbert, of covering Parr's trading losses in government securities by fraudulently borrowing from banks and illegally selling securities owned by Parr customers.
Mr. Herbert on Monday agreed to a permanent injunction against his or Parr's engagement in any further violations of securities law. Late Monday …
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Publication information: Article title: SEC Bares Another Securities Fraud. Contributors: LaGesse, David - Author. Magazine title: American Banker. Volume: 150. Publication date: May 7, 1985. Page number: 1+. © 2009 SourceMedia, Inc. COPYRIGHT 1985 Gale Group.
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