Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-casd-3_14-cv-00347/USCOURTS-casd-3_14-cv-00347-6/pdf.json

Nature of Suit Code: 850
Nature of Suit: Securities, Commodities, Exchange
Cause of Action: 28:1332sa Diversity: Securities &amp; Exchange Commiss

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UNITED STATES DISTRICT COURT

SOUTHERN DISTRICT OF CALIFORNIA

This case is before the Court upon Plaintiff-Judgment Creditor’s, United States Securities and 

Exchange Commission (“Commission”), Ex Parte Motion for an Order Freezing Assets (ECF No. 169),

and the record as a whole. Having considered the Commission’s Motion, this Court finds as follows:

1. This Court has jurisdiction over the subject matter of the action and over DefendantJudgment Debtor, James Y. Lee, and Relief Defendant-Judgment Debtor, Larissa Ettore (“Ettore”). 

2. The record establishes that on July 15, 2016, a final judgment was entered, by consent, in 

favor of the Commission and against Defendant James Y. Lee (“Lee Judgment”). (ECF No. 82). The 

U.S. SECURITIES AND EXCHANGE 

COMMISSION,

Plaintiff,

v.

JAMES Y. LEE, 

Defendant,

and LARISSA O. ETTORE, et al.,

Relief Defendants

And Judgment Debtors,

Wells Fargo Bank, N.A.,

Garnishee.

Case No. 3:14-cv-00347-LAB-BGS

ORDER FREEZING ASSETS

Case 3:14-cv-00347-LAB-BGS Document 188 Filed 02/20/19 PageID.<pageID> Page 1 of 4
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Lee Judgment ordered Lee to pay disgorgement in the amount of $1,880,263 and prejudgment interest in 

the amount of $322,762.95, for a total of $2,203,025.95 plus post-judgment interest. On February 3, 

2017, this Court also entered a final judgment (“Judgment”) in favor of the Commission and against 

Ettore for disgorgement in the amount of $386,694.25 and prejudgment interest in the amount of 

$76,790.70, for a total of $463,484.95. (ECF No. 103)

3. On July 12, 2018, the Commission filed its Motion for an Order to Show Cause Why 

Defendant James Y. Lee and Relief Defendant Larissa O. Ettore Should Not Be Held in Civil Contempt 

(“Contempt Motion”). (ECF No. 162). As part of the Commission’s filing, it submitted records 

showing how Lee and Ettore have been using third parties or nominees to conduct their personal and 

professional business so as to avoid the Commission’s collection efforts. 

4. On August 1, 2018, Ettore filed a motion to extend the deadline to file a response to the 

Contempt Motion. (ECF No. 164). The motion was granted, in part, on August 7, 2018. (ECF No. 

165).

5. On August 8, 2018, Lee filed a motion to extend the deadline to file a response to the 

Contempt Motion. (ECF No. 168). 

6. The Commission seeks an asset freeze to preserve the status quo and prevent the 

dissipation of assets by Lee and Ettore in their individual capacities or by and through their nominees 

and other third parties.

Now, therefore,

IT IS HEREBY ORDERED that the Commission’s E x Parte Motion for an Order Freezing 

Assets is GRANTED IN PART. 

IT IS HEREBY FURTHER ORDERED that an immediate freeze shall be placed on 

all monies and assets including, but not limited to, those held by third parties or found in 

all accounts at any bank, financial institution or brokerage firm, of third-payment processor, all 

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certificates of deposit, escrow or trust accounts, and other funds or assets held in the 

name of, for the benefit of, or over which account authority is held by Defendant James 

Y. Lee and/or Larissa O. Ettore, whether (1) held in their names or individual capacity; (2) 

controlled by them; (3) they have any beneficial interest; (4) held by any of their affiliates, correspondent 

entities, or nominees; and (5) they have any other interest, whether in the United States or abroad.

Any person or entity receiving notice of this Order holding such monies and assets described 

above shall hold and retain within their control and prohibit the withdrawal, removal, transfer or other 

disposal of any such funds or other assets except as ordered by this Court.

Third parties to whom this Order specifically applies are: Ulla Ettore, Roger Ettore, Timo Ettore, 

Lolita Gatchalian and Jean Lee.

IT IS HEREBY FURTHER ORDERED that Defendant James Y. Lee, Larissa O. 

Ettore, and their agents, servants, employees, attorneys-in-fact, and those persons in 

active concert or participation with them who receive actual notice of this Order by 

personal service or otherwise including, but not limited to, Ulla Ettore, Roger Ettore, Timo 

Ettore, Lolita Gatchalian and Jean Lee, shall not take any steps to encumber or in any way dissipate 

assets held by, on behalf or at the direction of Defendant James Y. Lee, Larissa O. Ettore 

pending the determination of the Commission’s Contempt Motion.

IT IS HEREBY FURTHER ORDERED that any person who receives actual notice 

of this Order by personal service or otherwise, and who holds, possesses or controls 

assets exceeding $1,000 for the account or benefit of Defendant James Y. Lee and/or 

Larissa O. Ettore shall within five days of receiving actual notice of this Order provide 

counsel for the Commission with a written statement identifying all such assets, the 

value of such assets, or best approximation thereof, and any account numbers or account 

names in which the assets are held. 

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IT IS HEREBY FURTHER ORDERED that this Court shall retain jurisdiction over 

this action for the purpose of implementing and carrying out the terms of all orders and 

decrees, which may be entered herein and to entertain any suitable application or motion 

for additional relief within the jurisdiction of this Court.

Dated February 20, 2019

Hon. Larry A. Burns

Chief United States District Court Judge

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