Document ID: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-cand-3_07-cv-06423/USCOURTS-cand-3_07-cv-06423-13/pdf.json

Parties Involved:
Argyle Capital Management Corp
Defendant
Robert Olins
Defendant
Securities and Exchange Commission
Plaintiff
Spatialight, Inc
Defendant

Document Text:

FINAL DEFAULT JUDGMENT AS TO

DEFENDANT SPATIALIGHT, INC.

SEC v. Olins, et al 

Case No. CV-07-6423-MMC

1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

PROPOSED FINAL DEFAULT JUDGMENT AS TO DEFENDANT SPATIALIGHT, INC.

The Securities and Exchange Commission having filed a Complaint and Defendant 

SpatiaLight having failed to plead or otherwise defend; and the Clerk of the Court having entered a 

default against Defendant: 

I. 

 IT IS HEREBY ORDERED, ADJUDGED, AND DECREED that Defendant and Defendant's 

agents, servants, employees, attorneys, and all persons in active concert or participation with them 

who receive actual notice of this Final Judgment by personal service or otherwise are permanently 

restrained and enjoined from violating, directly or indirectly, Section 10(b) of the Securities 

Exchange Act of 1934 (the "Exchange Act") [15 U.S.C. § 78j(b)] and Rule 10b-5 promulgated 

thereunder [17 C.F.R. § 240.10b-5], by using any means or instrumentality of interstate commerce, or 

UNITED STATES DISTRICT COURT 

NORTHERN DISTRICT OF CALIFORNIA 

SAN FRANCISCO DIVISION 

SECURITIES AND EXCHANGE COMMISSION, 

 Plaintiff, 

 vs. 

ROBERT OLINS, 

SPATIALIGHT, INC. and 

ARGYLE CAPITAL MANAGEMENT CORP., 

 Defendants. 

 

Case No. CV-07-6423-MMC 

PROPOSED FINAL JUDGMENT AS TO 

DEFENDANT SPATIALIGHT, INC. 

Case 3:07-cv-06423-MMC Document 56 Filed 01/30/09 Page 1 of 6
FINAL DEFAULT JUDGMENT AS TO

DEFENDANT SPATIALIGHT, INC.

SEC v. Olins, et al 

Case No. CV-07-6423-MMC

-2-

1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

of the mails, or of any facility of any national securities exchange, in connection with the purchase or 

sale of any security: 

(a) to employ any device, scheme, or artifice to defraud; 

(b) to make any untrue statement of a material fact or to omit to state a material fact 

 necessary in order to make the statements made, in the light of the circumstances 

 under which they were made, not misleading; or 

(c) to engage in any act, practice, or course of business which operates or would 

 operate as a fraud or deceit upon any person. 

II. 

 IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant and 

Defendant's agents, servants, employees, attorneys, and all persons in active concert or participation 

with them who receive actual notice of this Final Judgment by personal service or otherwise are 

permanently restrained and enjoined from violating Section 17(a) of the Securities Act of 1933 (the 

“Securities Act”) [15 U.S.C. § 77q(a)] in the offer or sale of any security by the use of any means or 

instruments of transportation or communication in interstate commerce or by use of the mails, 

directly or indirectly: 

(a) to employ any device, scheme, or artifice to defraud; 

(b) to obtain money or property by means of any untrue statement of a material fact or 

any omission of a material fact necessary in order to make the statements made, in 

light of the circumstances under which they were made, not misleading; or 

(c) to engage in any transaction, practice, or course of business which operates or would 

operate as a fraud or deceit upon the purchaser. 

Case 3:07-cv-06423-MMC Document 56 Filed 01/30/09 Page 2 of 6
FINAL DEFAULT JUDGMENT AS TO

DEFENDANT SPATIALIGHT, INC.

SEC v. Olins, et al 

Case No. CV-07-6423-MMC

-3-

1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

III. 

 IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant and 

Defendant's agents, servants, employees, attorneys, and all persons in active concert or participation 

with them who receive actual notice of this Final Judgment by personal service or otherwise are 

permanently restrained and enjoined from violating Section 5 of the Securities Act [15 U.S.C. § 77e] 

by, directly or indirectly, in the absence of any applicable exemption: 

 (a) Unless a registration statement is in effect as to a security, making use of any means or 

instruments of transportation or communication in interstate commerce or of the mails 

to sell such security through the use or medium of any prospectus or otherwise; 

 (b) Unless a registration statement is in effect as to a security, carrying or causing to be 

carried through the mails or in interstate commerce, by any means or instruments of 

transportation, any such security for the purpose of sale or for delivery after sale; or 

 (c) Making use of any means or instruments of transportation or communication in 

interstate commerce or of the mails to offer to sell or offer to buy through the use or 

medium of any prospectus or otherwise any security, unless a registration statement 

has been filed with the Commission as to such security, or while the registration 

statement is the subject of a refusal order or stop order or (prior to the effective date of 

the registration statement) any public proceeding or examination under Section 8 of 

the Securities Act [15 U.S.C. § 77h]. 

IV. 

 IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant and 

Defendant's agents, servants, employees, attorneys, and all persons in active concert or participation 

with them who receive actual notice of this Final Judgment by personal service or otherwise are 

Case 3:07-cv-06423-MMC Document 56 Filed 01/30/09 Page 3 of 6
FINAL DEFAULT JUDGMENT AS TO

DEFENDANT SPATIALIGHT, INC.

SEC v. Olins, et al 

Case No. CV-07-6423-MMC

-4-

1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

permanently restrained and enjoined from violating Section 13(a) of the Exchange Act [15 U.S.C. § 

78m(a)] and Rules 12b-20, 13a-1 and 13a-11 thereunder [17 C.F.R. §§ 240.12b-20, 240.13a-1, and 

240 13a-11], by filing or causing to be filed with the Commission any report required to be filed with 

the Commission pursuant to Section 13(a) of the Exchange Act [15 U.S.C. § 78m(a)] and the rules 

and regulations promulgated thereunder, which contains any untrue statement of material fact, which 

omits to state any material fact necessary in order to make the statements made, in light of the 

circumstances under which they were made, not misleading, or which omits to disclose any 

information required to be disclosed. 

V. 

 IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that Defendant and 

Defendant's agents, servants, employees, attorneys, and all persons in active concert or participation 

with them who receive actual notice of this Final Judgment by personal service or otherwise are 

permanently restrained and enjoined from violating Sections 13(b)(2)(A) and 13(b)(2)(B) of the 

Exchange Act [15 U.S.C. §§ 78m(b)(2)(A) and 78m(b)(2)(B)], with respect to any issuer which has a 

class of securities registered pursuant to Section 12 of the Exchange Act or is required to file reports 

pursuant to Section 15(d) of the Exchange Act, by: 

(a) failing to make and keep books, records and accounts, which, in reasonable detail, 

accurately and fairly reflect the transactions and disposition of the assets of the issuer; or 

(b) failing to devise and maintain a system of internal accounting controls sufficient to 

provide reasonable assurances that: 

(1) transactions are executed in accordance with management’s general or specific 

authorization; 

(2) transactions are recorded as necessary (I) to permit preparation of financial 

Case 3:07-cv-06423-MMC Document 56 Filed 01/30/09 Page 4 of 6
FINAL DEFAULT JUDGMENT AS TO

DEFENDANT SPATIALIGHT, INC.

SEC v. Olins, et al 

Case No. CV-07-6423-MMC

-5-

1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

statements in conformity with generally accepted accounting principles or any 

other criteria applicable to such statements, and (II) to maintain accountability 

for assets; 

(3) access to assets is permitted only in accordance with management’s general or 

specific authorization; and 

(4) the recorded accountability for assets is compared with the existing assets at 

reasonable intervals and appropriate action is taken with respect to any 

differences. 

VI. 

 IT IS HEREBY FURTHER ORDERED, ADJUDGED, AND DECREED that 

Defendant and Defendant’s agents, servants, employees, attorneys, and all persons in active concert 

or participation with them who receive actual notice of this Final Judgment by personal service or 

otherwise are permanently restrained and enjoined from violating Section 14(a) of the Exchange Act 

[15 U.S.C. § 78n(a)] and Rule 14a-9 [17 C.F.R. § 240.14a-9], promulgated thereunder, directly or 

indirectly, by making solicitations by means of a proxy statement, form of proxy, notice of meeting 

or other communication, written or oral, containing any statement which, at the time and in the light 

of the circumstances under which it is made, is false or misleading with respect to any material fact, 

or which omits to state any material fact necessary in order to make the statements therein not false or 

misleading or necessary to correct any statement in any earlier communication with respect to the 

solicitation of a proxy for the same meeting or subject matter which has become false or misleading. 

VIII. 

 IT IS FURTHER ORDERED, ADJUDGED, AND DECREED that this Court shall retain 

jurisdiction of this matter for the purposes of enforcing the terms of this Final Judgment. 

Case 3:07-cv-06423-MMC Document 56 Filed 01/30/09 Page 5 of 6
FINAL DEFAULT JUDGMENT AS TO

DEFENDANT SPATIALIGHT, INC.

SEC v. Olins, et al 

Case No. CV-07-6423-MMC

-6-

1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

IX. 

There being no just reason for delay, pursuant to Rule 54(b) of the Federal Rules of Civil 

Procedure, the Clerk is ordered to enter this Final Judgment forthwith and without further notice. 

Dated: ______________, _____ 

____________________________________ 

UNITED STATES DISTRICT JUDGE 

Case 3:07-cv-06423-MMC Document 56 Filed 01/30/09 Page 6 of 6