Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-cand-4_06-cv-06003/USCOURTS-cand-4_06-cv-06003-15/pdf.json

Nature of Suit Code: 850
Nature of Suit: Securities, Commodities, Exchange
Cause of Action: 15:77 Securities Fraud

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STIPULATION AND [PROPOSED] ORDER CASE NO. C-06-6003 CW

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MARC FAGEL 

JOHN S. YUN (yunj@sec.gov) 

SHEILA E. O’CALLAGHAN (ocallaghans@sec.gov) 

ELENA RO (roe@sec.gov) 

Attorneys for Plaintiff 

SECURITIES AND EXCHANGE COMMISSION 

44 Montgomery Street, Suite 2600 

San Francisco, California 94104 

Telephone: (415) 705-2500 

Facsimile: (415) 705-2501 

UNITED STATES DISTRICT COURT 

NORTHERN DISTRICT OF CALIFORNIA 

 

SECURITIES AND EXCHANGE COMMISSION, 

 Plaintiff, 

 vs. 

THE CHILDREN’S INTERNET, INC., et al., 

 Defendants. 

Case No. C-06-6003 

STIPULATION AND [PROPOSED] 

ORDER THAT CIVIL MONETARY 

PENALTIES BE DETERMINED BY 

THE COURT 

STIPULATION

Plaintiff Securities and Exchange Commission (the “Commission”) and defendant Cort L. 

Poyner, by and through their respective counsel, hereby stipulate as follows: 

WHEREAS: 

1. A jury trial currently is scheduled starting March 31 to determine if defendant Poyner 

is liable for violations of the securities laws; 

2. At the Pre-trial conference held before this Court on Tuesday, March 18, the parties 

agreed, in the event the jury found Poyner liable, the Court (not the jury) determines 

whether to impose injunctions, disgorgement and remedial bars against Poyner; 

3. At the pre-trial conference, however, Defendant Poyner objected to the Court 

determining whether to impose a civil penalty and the amount of any such penalty; 

4. Defendant Poyner has since withdrawn his objection. 

Case 4:06-cv-06003-CW Document 168 Filed 03/28/08 Page 1 of 2
STIPULATION AND [PROPOSED] ORDER -2- CASE NO. C-06-6003 CW

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IT IS THEREFORE STIPULATED AND AGREED:

 By and among the undersigned, on behalf of their respective clients, that the decision to 

impose a civil monetary penalty, pursuant to Section 20(d) of the Securities Act [15 U.S.C. § 77t(d)] 

and Section 21(d)(3) of the Exchange Act [15 U.S.C. § 78u(d)(3)], and the amount of any such 

penalty is properly decided by the Court based upon the jury’s determination of liability. 

IT IS SO STIPULATED: 

Dated: March 27, 2008 _/s/ John S. Yun ___________ 

 John S. Yun 

 Attorney for Plaintiff 

 SECURITIES AND EXCHANGE COMMISSION 

 

Dated: March 27, 2008 _/s/ Thomas LoSavio_______________________

 Thomas LoSavio 

 Low, Ball & Lynch 

 Attorney for Defendant Cort L. Poyner 

IT IS SO ORDERED.

Dated: ________________________ 

 Claudia Wilken, Judge 

 UNITED STATES DISTRICT COURT 

3/28/08

Case 4:06-cv-06003-CW Document 168 Filed 03/28/08 Page 2 of 2