UNITED STATES OF AMERICA

Before the

SECURITIES AND EXCHANGE COMMISSION

SECURITIES EXCHANGE ACT OF 1934 

Release No. 92825 / August 31, 2021

ADMINISTRATIVE PROCEEDING

File No. 3-15124

In the Matter of

David F. Bandimere,

Respondent.

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NOTICE OF PROPOSED PLAN OF 

DISTRIBUTION AND 

OPPORTUNITY FOR COMMENT

Notice is hereby given, pursuant to Rule 1103 of the United States Securities and 

Exchange Commission’s (“Commission”) Rules on Fair Fund and Disgorgement Plans 

(“Commission’s Rules”), 17 C.F.R. § 201.1103, that the Division of Enforcement has submitted 

to the Commission a proposed plan of distribution (the “Proposed Plan”) for the distribution of 

monies paid in the above-captioned matter.

On November 22, 2019, the Commission settled a previously instituted cease-and-desist 

processing by issuing an Order Making Findings and Imposing Remedial Sanctions and a Ceaseand-Desist Order Pursuant to Section 8A of the Securities Act of 1933 and Sections 15(b) and 

21C of the Securities Exchange Act of 1934 (the “Order”)1against David F. Bandimere (the 

“Respondent”). In the Order, the Commission found that between 2006 and 2010, the 

Respondent violated certain antifraud provisions of the Securities Act while operating as an 

unregistered broker in selling unregistered investments in IV Capital Ltd. (“IV Capital”) and 

Universal Consulting Resources LLC (“UCR”), two Ponzi schemes which the Commission 

brought actions against in 2011 and 2010 respectively. 

The Order found Bandimere raised at least $9.3 million from over 60 investors while 

acting as an unregistered broker for these Ponzi schemes and earned transaction-based 

compensation, which provided the vast majority of his income during that time period. 

Bandimere initially sold IV Capital directly to investors, but then formed three LLCs to facilitate 

bringing in investors for both IV Capital and UCR. Bandimere also encouraged the investment 

of the investors’ retirement funds by setting up self-directed IRA accounts through a third-party 

provider.

 

1

 Securities Act Rel. No. 10728 (Nov. 22, 2019).
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The Order further found Bandimere misled potential investors by presenting only a onesided, positive view of the IV Capital and UCR investments while failing to disclose numerous 

red flags and potentially negative facts relating to those investments. Once Bandimere described 

IV Capital and UCR to potential investors in a materially positive way, he was under a duty to 

make fair and complete disclosure of these material red flags and negative facts. Bandimere also 

offered and sold securities in UCR and IV Capital when no registration statement was filed or in 

effect for the transactions, and no exemption applied to the registration requirements. 

The Order further found that investors in Bandimere’s LLCs ultimately lost all of the 

money they had invested in the UCR and IV Capital programs, other than what was paid to them 

as purported returns or returns of capital, when those Ponzi schemes collapsed.

As a result of the conduct described in the Order, the Commission ordered the 

Respondent to pay $370,000 in disgorgement and a $130,000 civil money penalty, for a total of 

$500,000, to the Commission. The Commission also created a Fair Fund, pursuant to Section 

308(a) of the Sarbanes-Oxley Act of 2002, so the penalty paid, along with the disgorgement paid, 

can be distributed to harmed investors (the “Fair Fund”).

The Fair Fund includes the $500,000.00 paid by the Respondent. The assets of the Fair 

Fund are subject to the continuing jurisdiction and control of the Commission. The Fair Fund 

and has been deposited in an interest-bearing account at the U.S. Department of the Treasury’s 

Bureau of the Fiscal Service, and any interest accrued will be added to the Fair Fund.

OPPORTUNITY FOR COMMENT

Pursuant to this Notice, all interested persons are advised that they may obtain a copy of 

the Plan from the Commission’s public website at http://www.sec.gov/litigation/fairfundlist.htm. 

Interested persons may also obtain a written copy of the Proposed Plan by submitting a written 

request to Noel Gittens, United States Securities and Exchange Commission, 100 F Street, NE, 

Washington, DC 20549-5876. All persons who desire to comment on the Proposed Plan may 

submit their comments, in writing, no later than thirty (30) days from the date of this Notice:

1. to the Office of the Secretary, United States Securities and Exchange 

Commission, 100 F Street, NE, Washington, DC 20549-1090;

2. by using the Commission’s Internet comment form 

(http://www.sec.gov/litigation/admin.shtml); or

3. by sending an e-mail to rule-comments@sec.gov.

Comments submitted by email or via the Commission’s website should include “Administrative 

Proceeding File No. 3-15124” in the subject line. Comments received will be publicly available. 

Persons should submit only information they wish to make publicly available.
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THE PROPOSED PLAN

The Net Available Fair Fund2is comprised of the $500,000.00 in disgorgement and civil 

money penalties paid by the Respondent, plus interest and income earned thereon, less taxes, 

fees, and expenses. The Proposed Plan provides for the distribution of the Net Available Fair 

Fund to investors who were defrauded by the Respondent's fraudulent conduct and suffered harm 

as calculated by the Plan of Allocation used in the Proposed Plan.

For the Commission, by the Division of Enforcement, pursuant to delegated authority.3

Vanessa A. Countryman

Secretary 

 

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 All capitalized terms used herein but not defined shall have the same meanings ascribed to them in the Proposed 

Plan.

3

 17 C.F.R. § 200.30-4(a)(21)(iii).