Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-casd-3_06-cv-00020/USCOURTS-casd-3_06-cv-00020-0/pdf.json

Nature of Suit Code: 850
Nature of Suit: Securities, Commodities, Exchange
Cause of Action: 7:6(b) Federal Commodity Exchange Regulation

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Louis V. Traeger -California State Bar No. 38714

William P. Janulis - IL ARDC No. 1326449

Rosemary Hollinger - IL ARDC No. 03123647

Attorneys for Plaintiff Commodity Futures Trading Commission

525 W. Monroe St., Suite 1100

Chicago, Illinois 60661

312-596-0545 (Janulis); wjanulis@cftc.gov

312-596-0563 (Traeger); ltraeger@cftc.gov

312-596-0520 (Hollinger); rhollinger@cftc.gov

IN THE UNITED STATES DISTRICT COURT

FOR THE SOUTHERN DISTRICT OF CALIFORNIA

COMMODITY FUTURES

TRADING COMMISSION,

Plaintiff,

v.

CHARLES A. DEFAZIO, and 

GALAXY RESOURCES 2000, LLC,

Defendants.

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CIVIL ACTION NO. 06 CV 0020

 BEN WMc 

AGREED ORDER REGARDING

TRANSFER OF AN ADDITIONAL

FROZEN ASSET TO THE COURT

REGISTRY

Plaintiff, Commodity Futures Trading Commission ("Commission"), has filed a

Complaint against Defendants Charles A. DeFazio (“DeFazio”) and Galaxy Resources 2000

LLC (“Galaxy”), seeking injunctive and other equitable relief for violations of the Commodity

Exchange Act, as amended ("Act"), 7 U.S.C. §§ 1 et seq. (2002), and Regulations promulgated

thereunder, 17 C.F.R. §§ 1 et seq. (2005). 

Case 3:06-cv-00020-BEN-WMC Document 12 Filed 12/12/06 Page 1 of 4
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Subsequently, Defendants, without admitting or denying the allegations of the

Complaint, except those allegations regarding jurisdiction and venue, which they admitted,

consented to an Agreed Order of Preliminary Injunction and Other Ancillary Relief (“PI Order”),

filed on January 10, 2006. As part of the PI Order, the Court restrained, enjoined and prohibited

defendants from directly or indirectly:

Dissipating, withdrawing, transferring, removing, concealing or

disposing of cash, cashiers checks, funds, assets or other property of, or within the

custody, control or possession of, Defendants, including, but not limited to, all

funds, personal property, money or securities held in safes, safety deposit boxes

and all funds on deposit in any financial institution, bank or savings and loan

account, including funds or property of investors, wherever located, whether held

in the name of any Defendant or otherwise, and the assets affected by this

paragraph shall include both existing assets and income and assets acquired after

the effective date of this Order; except that Defendant DeFazio is allowed to draw

upon and/or use existing funds in Washington Mutual Account No. XXXXXX861-7 in the name of the DeFazio Family Trust and Downey Savings

Account No. XX-XXXX094-6 in his name to satisfy reasonable, ordinary and

necessary living expenses up to a maximum of $5,000 per calendar month. 

All parties have stipulated that prior to the entry of the PI to Order, the following

additional asset was controlled by Defendant DeFazio and the funds therein derive from

investors in the Defendants’ commodity pool enterprise:

Entity Holding Funds

Approximate

Amount Name on the Account Account #

Franklin Templeton

Investor Services, LLC $52,027.00 Source of Life Society

XXXXXXXXXX

0458

THE PARTIES AGREE AND THE COURT FINDS THAT:

It is beneficial for the efficient resolution of these proceedings that the asset listed above

be transferred and consolidated into the Registry of this Court. 

Case 3:06-cv-00020-BEN-WMC Document 12 Filed 12/12/06 Page 2 of 4
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Consequently, IT IS ORDERED that Plaintiff’s Motion to Transfer An Additional

Frozen Asset IS GRANTED and that Franklin Templeton Investor Services, LLC is ordered to

transfer the asset described above to the Registry of this Court pursuant to 28 U.S.C. § 2041 and

Local Civil Rule 67.1c. 

DATED: December 12, 2006

Hon. Roger T. Benitez

United States District Judge

Case 3:06-cv-00020-BEN-WMC Document 12 Filed 12/12/06 Page 3 of 4
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Agreed by:

_____________________________

Charles A. DeFazio

Individually and on behalf of Galaxy 

 Resources 2000, LLC 

 

Date:______________________

_______________________________

William P. Janulis

One of the Attorneys for the Plaintiff

Commodity Futures Trading Commission

525 West Monroe Street, Suite 1100

Chicago, Illinois 60606

(312) 596-0545

(312) 596-0714 (facsimile)

wjanulis@cftc.gov

Date:____________________

Case 3:06-cv-00020-BEN-WMC Document 12 Filed 12/12/06 Page 4 of 4