Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-2_09-cv-00665/USCOURTS-caed-2_09-cv-00665-28/pdf.json

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

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[PROPOSED] ORDER ESTABLISHING A SUMMARY PROCEEDING PROCEDURE 

CASE NO. CV 09-000665 LKK-DAD 

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FUTTERMAN DUPREE 

DODD CROLEY

MAIER LLP

FUTTERMAN DUPREE DODD CROLEY MAIER LLP

JAMIE L. DUPREE (158105) 

JAIME E. GODIN (233187) 

180 Sansome Street, 17th Floor 

San Francisco, CA 94104 

Telephone: (415) 399-3840 

Facsimile: (415) 399-3838 

jdupree@fddcm.com

jgodin@fddcm.com

Attorneys for Receiver 

Stephen E. Anderson 

UNITED STATES DISTRICT COURT 

EASTERN DISTRICT OF CALIFORNIA 

SACRAMENTO 

SECURITIES AND EXCHANGE 

COMMISSION, 

Plaintiff 

v. 

ANTHONY VASSALLO, et al, 

Defendants. 

Case No. CV 09-000665 LKK-DAD 

ORDER ESTABLISHING A STANDARD 

SUMMARY PROCEEDING 

PROCEDURE FOR RECEIVER’S 

PURSUIT OF EQUITY INVESTMENT 

MANAGEMENT AND TRADING, 

INC.’S ASSETS 

Judge Lawrence K. Karlton

On April 30, 2009, this Court filed the Order Appointing Temporary Receiver for Equity 

Investment Management and Trading, Inc. (“EIMT”) and Order to Show Cause for Appointment 

of Permanent Receiver (“OAR”), and on July 31, 2009, the Court filed an Order permanently 

appointing Receiver. Pursuant to the OAR, for good cause shown, and in order to empower and 

authorize the Receiver to carry out his duties and obligations, 

THE COURT HEREBY FINDS AND ORDERS AS FOLLOWS: 

The EIMT receivership estate has limited resources. 

In order to marshal and recover EIMT assets in an expeditious and cost-effective manner, 

good cause exists to establish a standard expedited summary proceeding through which Receiver 

may pursue the disgorgement of EIMT receivership assets. 

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Case 2:09-cv-00665-JAM-KJN Document 116 Filed 08/20/09 Page 1 of 3
[PROPOSED] ORDER ESTABLISHING A SUMMARY PROCEEDING PROCEDURE 

CASE NO. CV 09-000665 LKK-DAD 

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FUTTERMAN DUPREE 

DODD CROLEY

MAIER LLP

Accordingly, the Court establishes the following expedited summary proceeding 

procedure for disgorgement claims for EIMT assets similar to the Court’s regular civil motion 

procedure: 

• To obtain a ruling concerning the disgorgement of a receivership asset, Receiver shall file 

a noticed motion for disgorgement and proposed order in compliance with the motion 

procedures set forth in Local Rule 78-230. Specifically, Receiver shall serve the moving 

papers seeking disgorgement on all interested parties by mail or electronic service at least 

31 days in advance of a noticed hearing date or at least 28 days after personal service, and 

shall serve a copy of this Order with those moving papers. 

• Interested parties will have an opportunity to oppose the requested disgorgement by filing 

an opposition brief not less than fourteen days before the date of the hearing. 

• Upon a showing of good cause, the Court may order limited discovery concerning the 

particular asset. 

• Receiver shall be permitted an opportunity to reply not less than five days before date of 

the hearing as originally noticed or as continued. 

• If Receiver’s service of the moving papers is by personal service or mail, he shall file his 

proof of service of the same not less than five days before the date of hearing as originally 

noticed or as continued. 

• All interested parties will be provided the opportunity for oral argument at the noticed 

hearing unless the Court deems it appropriate to rule on the papers alone. 

• In the event that the Court determines there is a disputed issue(s) of fact concerning 

disgorgement of a particular asset, the Court shall set an evidentiary hearing to resolve the 

issue(s). 

The foregoing procedure provides sufficient due process to interested parties by providing 

// 

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Case 2:09-cv-00665-JAM-KJN Document 116 Filed 08/20/09 Page 2 of 3
[PROPOSED] ORDER ESTABLISHING A SUMMARY PROCEEDING PROCEDURE 

CASE NO. CV 09-000665 LKK-DAD 

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FUTTERMAN DUPREE 

DODD CROLEY

MAIER LLP

adequate notice and an opportunity to be heard prior to any disgorgement order and permits an 

interested party to obtain limited discovery upon a showing of good cause. 

IT IS SO ORDERED. 

Dated: August 20, 2009. 

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Case 2:09-cv-00665-JAM-KJN Document 116 Filed 08/20/09 Page 3 of 3