UNITED STATES OF AMERICA

Before the

SECURITIES AND EXCHANGE COMMISSION

SECURITIES ACT OF 1933

Release No. 9442 / August 16, 2013

SECURITIES EXCHANGE ACT OF 1934

Release No. 70223 / August 16, 2013

INVESTMENT ADVISERS ACT OF 1940

Release No. 3651 / August 16, 2013

INVESTMENT COMPANY ACT OF 1940

Release No. 30651 / August 16, 2013

ADMINISTRATIVE PROCEEDING

File No. 3-15429

In the Matter of

North East Capital, LLC 

and Anthony T. Vicidomine

Respondents.

ORDER INSTITUTING ADMINISTRATIVE 

AND CEASE-AND-DESIST PROCEEDINGS, 

PURSUANT TO SECTION 8A OF THE 

SECURITIES ACT OF 1933, SECTION 21C 

OF THE SECURITIES EXCHANGE ACT OF 

1934, SECTIONS 203(f) AND 203(k) OF THE 

INVESTMENT ADVISERS ACT OF 1940, 

AND SECTION 9(b) OF THE INVESTMENT 

COMPANY ACT OF 1940, MAKING 

FINDINGS, AND IMPOSING REMEDIAL 

SANCTIONS AND A CEASE-AND-DESIST 

ORDER

I.

The Securities and Exchange Commission (“Commission”) deems it appropriate and in the 

public interest that public administrative and cease-and-desist proceedings be, and hereby are, 

instituted against North East Capital, LLC (“North East”) and Anthony T. Vicidomine 

(“Vicidomine”) (collectively, “Respondents”), pursuant to Section 8A of the Securities Act of 

1933 (“Securities Act”), Section 21C of the Securities Exchange Act of 1934 (“Exchange Act”), 

Sections 203(f) and 203(k) of the Investment Advisers Act of 1940 (“Advisers Act”), and Section 

9(b) of the Investment Company Act of 1940 (“Investment Company Act”) as to Vicidomine, and 

pursuant to Section 8A of the Securities Act, Section 21C of the Exchange Act, Section 203(k) of 

the Advisers Act and Section 9(b) of the Investment Company Act as to North East.
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II.

In anticipation of the institution of these proceedings, Respondents have submitted an Offer 

of Settlement (the “Offer”) which the Commission has determined to accept. Solely for the 

purpose of these proceedings and any other proceedings brought by or on behalf of the 

Commission, or to which the Commission is a party, and without admitting or denying the 

findings herein, except as to the Commission’s jurisdiction over them and the subject matter of 

these proceedings, which are admitted, Respondents consent to the entry of this Order Instituting 

Administrative and Cease-and-Desist Proceedings Pursuant to Section 8A of the Securities Act of 

1933, Section 21C of the Securities Exchange Act of 1934, Sections 203(f) and 203(k) of the 

Investment Advisers Act of 1940, and Section 9(b) of the Investment Company Act of 1940, 

Making Findings, and Imposing Remedial Sanctions and a Cease-and-Desist Order (“Order”), as 

set forth below. 

III.

On the basis of this Order and Respondents’ Offer, the Commission finds that:

Summary

These proceedings arise from Vicidomine’s receipt of unauthorized fees from the North East 

Capital Fund LP (the “Fund”), a pooled investment vehicle that Vicidomine created and offered to 

investors through North East Capital, LLC (“North East”), an unregistered investment adviser that 

he owned and controlled. From November 2011 through March 2012, Vicidomine misappropriated 

$189,415 of the Fund’s assets in the form of unearned “incentive fees” and used the money to pay 

his own personal expenses and to finance his business ventures. In addition, Vicidomine and North 

East made false statements to current and prospective investors in connection with the offer and 

sale of limited partnership interests in the Fund, including misrepresentations about Vicidomine’s 

own investment in the Fund, his use of procedures to mitigate investors’ risk of loss, and an 

independent audit of the Fund. 

Respondents

1. Anthony T. Vicidomine (“Vicidomine”), age 34, resides in Staten Island, 

New York. He is the founder of North East, an unregistered investment adviser, and the Fund, a 

pooled investment vehicle. North East is the general partner of and investment adviser to the 

Fund, and Vicidomine is North East’s sole principal and control person.

2. North East Capital, LLC (“North East”) is a Delaware limited liability 

corporation that Vicidomine formed in February 2011. North East’s principal place of business is in 

New York, New York. North East is an unregistered investment adviser and general partner of the 

Fund. Vicidomine is North East’s sole principal and control person.
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Other Relevant Entity

3. North East Capital Fund LP (“Fund”) is a Delaware limited partnership 

formed by Vicidomine in February 2011 with its principal place of business in New York, New 

York. The Fund is not registered with the Commission or associated with any entity registered 

with the Commission. The Fund ceased accepting investments in June 2012 and is no longer 

active.

Background

4. Beginning in March 2011 and continuing through May 2012, Vicidomine, 

through North East, solicited at least 19 investors, including his relatives and friends, as well as 

acquaintances of his friends, to invest in the Fund. He met with each investor in person, orally 

described the Fund, and provided each investor with the Fund’s Private Offering Memorandum 

(“Offering Memo”) and subscription agreements. Vicidomine signed subscription agreements 

on behalf of North East to accept purchases of limited partnership interests in the Fund. In April 

2012, Vicidomine solicited an additional $320,000 in investments from existing Fund investors, 

including $120,000 from a close family member on April 4, 2012. The close family member 

also made an additional $90,000 payment to the Fund in April 2012, which represented 

reimbursement to the Fund of certain excessive fees withdrawn by Vicidomine rather than a 

follow-on investment in the Fund. In total, Vicidomine succeeded in raising $1,900,000 from his 

friends and family, including $919,000 from the close family member, who was the Fund’s 

largest investor. The close family member fully redeemed his interest in the Fund between 

approximately August 2011 and June 2012. 

5. No registration statement was on file with the Commission or in effect as 

to the limited partnership interests in the Fund. At least several of the purchasers of interests in 

the Fund were unsophisticated and/or unaccredited, and several investors did not have a preexisting relationship with Vicidomine. In addition, Vicidomine and North East did not provide 

investors audited financial information concerning the Fund. 

Vicidomine’s Misappropriation of Fund Assets and

Misrepresentations Made by Vicidomine and North East

6. The Fund’s Offering Memo stated that the Fund’s general partner was 

entitled to 50% of the Fund’s net profits at the end of every three-month period following the 

first capital contribution to the Fund and then on a quarterly basis as of December 31, 2011. 

7. The Offering Memo further stated that this 50% “Incentive Allocation” 

would be calculated separately for each capital contribution from each limited partner. However, 

neither Vicidomine nor anyone else at North East followed such procedures when calculating the 

allowable Incentive Allocation.

8. The amount Vicidomine took in incentive fees exceeded the amount to 

which he was entitled. Beginning in June 2011, Vicidomine made numerous withdrawals from 
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the Fund’s bank account each month rather than one allocation payment every three months, as 

was represented in the Offering Memo. Vicidomine disbursed these funds directly into his own 

personal account, to his other business ventures, or to North East to pay his personal expenses. 

In this manner, Vicidomine misappropriated a total of $189,415 from the Fund.

9. Vicidomine and North East misrepresented to prospective Fund investors 

that Vicidomine would invest his own money in the Fund. Specifically, the Fund’s Offering 

Memo represented that Vicidomine would “make an initial investment in the Partnership of 

$500,000.” Vicidomine never invested any of his own money in the Fund. 

10. Vicidomine and North East made misrepresentations to current and 

prospective investors concerning the safety of their investments in the Fund. The Fund’s 

Offering Memo represented that the Fund would “utilize trading strategies that circumvent risk 

and maximize returns despite general market conditions.” It further disclosed that the Fund 

would invest “mainly in large cap multi-national corporations” and would limit its risk exposure 

by “following strict investment guidelines and utilizing an assortment of mathematical models... 

monitored by experienced personnel.” Vicidomine also orally represented to certain Fund 

investors that he would prevent stock losses in after-hours trading by “closing-out” (or selling) 

all of his positions at the end of each trading day. 

11. Contrary to his and North East’s representations, Vicidomine often caused 

the Fund to carry investments for longer than a day or, in the case of two large positions, for 

months. The Fund did not employ mathematical models, and no one monitored Vicidomine’s 

trading on behalf of the Fund to ensure compliance with Fund guidelines.

12. The Fund’s Offering Memo further represented that the Fund would 

undergo an annual audit conducted by an independent auditor. No such audit was performed. 

Violations

13. As a result of the conduct described above, Respondents violated Section 

5 of the Securities Act, which prohibits any person from selling a security through interstate 

commerce “[u]nless a registration statement is in effect as to [such] security,” or from offering to 

sell or offering to buy a security “unless a registration statement has been filed as to such 

security.” 

14. As a result of the conduct described above, Respondents willfully violated 

Section 17(a) of the Securities Act and Section 10(b) of the Exchange Act and Rule 10b-5 

thereunder, which prohibit fraudulent conduct in the offer or sale of securities and in connection 

with the purchase or sale of securities.

15. As a result of the conduct described above, Respondents willfully violated 

Sections 206(1) and 206(2) of the Advisers Act, which prohibit fraudulent and deceptive conduct 

by an investment adviser with respect to any client or prospective client, and Section 206(4) of 

the Advisers Act and Rule 206(4)-8 promulgated thereunder, which prohibit making an untrue 
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statement of a material fact or omitting any material fact to any investor or prospective investor 

in a pooled investment vehicle and engaging in any act, practice, or course of business that is 

fraudulent or deceptive with respect to any investor or prospective investor in the pooled 

investment vehicle.

Undertaking

Respondents have undertaken to: 

16. For a period of five years from the date of this Order, Respondents shall 

not engage in or participate in any unregistered offering of securities conducted in reliance on 

Rule 506 of Regulation D (17 C.F.R. § 230.506), including by occupying any position with, 

ownership of, or relationship to the issuer enumerated in 17 C.F.R. § 230.506(d)(1) (“‘Bad 

Actor’ disqualification”).

In determining whether to accept the Offer, the Commission has considered this

undertaking.

IV.

In view of the foregoing, the Commission deems it appropriate, in the public interest, and 

for the protection of investors to impose the sanctions agreed to in Respondents’ Offer.

Accordingly, pursuant to Section 8A of the Securities Act, Section 21C of the Exchange 

Act, Sections 203(f) and 203(k) of the Advisers Act, and Section 9(b) of the Investment Company 

Act, it is hereby ORDERED that:

A. Respondents cease and desist from committing or causing directly or indirectly any 

violations and any future violations of Sections 5 and 17(a) of the Securities Act, Section 10(b) of 

the Exchange Act and Rule 10b-5 thereunder, and Sections 206(1), 206(2), 206(4) of the Advisers 

Act and Rule 206(4)-8 promulgated thereunder. 

B. Respondent Vicidomine be, and hereby is:

barred from association with any broker, dealer, investment adviser,

municipal securities dealer, municipal advisor, transfer agent, or nationally 

recognized statistical rating organization; and

prohibited from serving or acting as an employee, officer, director, member 

of an advisory board, investment adviser or depositor of, or principal 

underwriter for, a registered investment company or affiliated person of such 

investment adviser, depositor, or principal underwriter;

with the right to apply for reentry after five (5) years to the appropriate selfregulatory organization, or if there is none, to the Commission.
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C. Any reapplication for association by Respondent Vicidomine will be subject to the 

applicable laws and regulations governing the reentry process, and reentry may be conditioned 

upon a number of factors, including, but not limited to, the satisfaction of any or all of the 

following: (a) any disgorgement ordered against the Respondents, whether or not the Commission 

has fully or partially waived payment of such disgorgement; (b) any arbitration award related to the 

conduct that served as the basis for the Commission order; (c) any self-regulatory organization 

arbitration award to a customer, whether or not related to the conduct that served as the basis for 

the Commission order; and (d) any restitution order by a self-regulatory organization, whether or 

not related to the conduct that served as the basis for the Commission order.

D. Respondents shall, within 3 days of the entry of this Order, pay disgorgement of 

$189,415, prejudgment interest of $6,717.04, and a civil money penalty of $150,000, for which 

Respondents are jointly and severally liable, to the Securities and Exchange Commission. If timely 

payment is not made, additional interest shall accrue pursuant to SEC Rule of Practice 600 and 31 

U.S.C. 3717. Payment must be made in one of the following ways: 

(1) Respondents may transmit payment electronically to the Commission, which will 

provide detailed ACH transfer/Fedwire instructions upon request;

(2) Respondents may make direct payment from a bank account via Pay.gov through the 

SEC website at http://www.sec.gov/about/offices/ofm.htm; or 

(3) Respondents may pay by certified check, bank cashier’s check, or United States postal 

money order, made payable to the Securities and Exchange Commission and handdelivered or mailed to: 

Enterprise Services Center

Accounts Receivable Branch

HQ Bldg., Room 181, AMZ-341

6500 South MacArthur Boulevard

Oklahoma City, OK 73169

Payments by check or money order must be accompanied by a cover letter identifying 

Vicidomine and North East as Respondents in these proceedings, and the file number of these 

proceedings; a copy of the cover letter and check or money order must be sent to Marshall Sprung, 

Co-Chief, Asset Management Unit, Division of Enforcement, Securities and Exchange 

Commission, 5670 Wilshire Blvd., Los Angeles, CA 90036. 

E. Pursuant to Section 308(a) of the Sarbanes-Oxley Act of 2002, as amended, a Fair 

Fund is created for the disgorgement, interest and penalties referenced in paragraph D above. 

Regardless of whether any such Fair Fund distribution is made, amounts ordered to be paid as civil 

money penalties pursuant to this Order shall be treated as penalties paid to the government for all 

purposes, including all tax purposes. To preserve the deterrent effect of the civil penalty, 

Respondents agree that in any Related Investor Action, they shall not argue that they are entitled 

to, nor shall they benefit by, offset or reduction of any award of compensatory damages by the 

amount of any part of Respondents’ payment of a civil penalty in this action (“Penalty Offset”). If 
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the court in any Related Investor Action grants such a Penalty Offset, Respondents agree that they

shall, within 30 days after entry of a final order granting the Penalty Offset, notify the 

Commission's counsel in this action and pay the amount of the Penalty Offset to the United States

Treasury or to a Fair Fund, as the Commission directs. Such a payment shall not be deemed an 

additional civil penalty and shall not be deemed to change the amount of the civil penalty imposed 

in this proceeding. For purposes of this paragraph, a “Related Investor Action” means a private 

damages action brought against Respondents by or on behalf of one or more investors based on 

substantially the same facts as alleged in the Order instituted by the Commission in this 

proceeding.

By the Commission.

Elizabeth M. Murphy

Secretary