UNITED STATES OF AMERICA

Before the

SECURITIES AND EXCHANGE COMMISSION

SECURITIES EXCHANGE ACT OF 1934 

Release No. 93664 / November 23, 2021

ADMINISTRATIVE PROCEEDING

File No. 3-16877

In the Matter of

HOWARD RICHARDS,

Respondent.

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NOTICE OF PROPOSED PLAN OF 

DISTRIBUTION AND 

OPPORTUNITY FOR COMMENT

ADMINISTRATIVE PROCEEDING

File No. 3-16878

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In the Matter of :

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JAMES GOODLAND, AND SECURUS :

WEALTH MANAGEMENT, LLC, :

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Respondents. :

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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 a 

Fair Fund (the “Fair Fund”), comprised of disgorgement, prejudgment interest, and civil money
penalties paid by Howard Richards (“Richards”)1

and the civil money penalty paid by James 

Goodland (“Goodland”)2in the above-captioned matters.

3

 

On September 30, 2015, the Commission issued the Order instituting and simultaneously 

settling administrative and cease-and-desist proceedings against Richards. In the Order, the 

Commission found that from January 2010 through July 2013, Richards, an investment advisory 

representative associated with Securus, engaged in a manipulative scheme to support the market 

price of the common stock of Gatekeeper in order to help Gatekeeper to obtain financing. The 

Commission also found that Richards failed to disclose to his clients his significant conflict of 

interest arising from his ownership of Gatekeeper shares, in breach of his fiduciary duty as an 

investment adviser. The Commission ordered Richards to pay a total of $144,000 in 

disgorgement, prejudgment interest, and a civil money penalty over the period of one year. The 

Commission also created a Fair Fund, pursuant to Section 308(a) of the Sarbanes-Oxley Act of 

2002, for the monies received pursuant to the Order.

In a related action, also on September 30, 2015, the Commission issued the Company

Order instituting and simultaneously settling administrative and cease-and-desist proceedings

against Goodland and Securus. In the Company Order, the Commission found that, from 

January 2010 through July 2013, Securus, an investment adviser registered with the 

Commission, and Goodland, its President and Chief Compliance Officer, failed to reasonably 

supervise Richards. Securus and Goodland also failed to adopt and implement an adequate 

system of internal controls that would have prevented and detected violations of the Investment 

Advisers Act of 1940. In the Company Order, the Commission ordered Goodland to pay a 

$30,000 civil money penalty. The Commission also created a Fair Fund, pursuant to Section 

308(a) of the Sarbanes-Oxley Act of 2002, so the penalty could be distributed to harmed 

investors. The Company Order also provided that the funds could be distributed by the Fair 

Fund established in the Order. 

The Respondents have paid in full. The Fair Fund, consisting of the $174,000.00 paid by 

the Respondents in accordance with the Orders, has been deposited at the United States 

Department of the Treasury’s Bureau of the Fiscal Service for investment.

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. 

 

1

 See Order Instituting Administrative and Cease-and-Desist Proceedings, Pursuant to Sections 15(b)2 and 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, Exchange Act Rel. No. 76058 (Sept. 30, 2015) (the “Order”).

2

 Order Instituting Administrative and Cease-and-Desist Proceedings, Pursuant to Sections 203(e), 203(f) and 

203(k) of the Investment Advisers Act of 1940, Making Findings, and Imposing Remedial Sanctions and a Ceaseand-Desist Order, Advisers Act Rel. No. 4213 (Sept. 30, 2015) (the “Company Order” and together with the Order, 

the “Orders”).

3

 Securus Wealth Management, LLC (“Securus,” together with Richards and Goodland, “Respondents”), an 

investment advisor formerly registered with the Commission, was also named as a respondent in this action. No 

monetary relief was ordered against Securus.
Interested persons may also obtain a written copy of the Proposed Plan by submitting a written 

request to Amy A. Sumner, United States Securities and Exchange Commission, 1961 Stout 

Street, Suite 1700, Denver, CO 80294. 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 Nos. 3-16877 and 3-16878” in the subject line. Comments received will be 

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

available.

THE PROPOSED PLAN

The Net Available Fair Fund4is comprised of the $174,000.00 in disgorgement, 

prejudgment interest, and civil money penalties paid by the Respondents, 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 paid management fees on holdings 

in Gatekeeper common stock (“GKTP”) and/or who suffered a loss on transactions in GKTP

accounts managed by Richards during the Relevant Period, as calculated by the methodology 

used in the Plan of Allocation, attached as Exhibit A to the Proposed Plan. 

For the Commission, by the Division of Enforcement, pursuant to delegated authority.5

Vanessa A. Countryman

Secretary 

 

4

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

Plan.

5

 17 C.F.R. § 200.30-4(a)(21)(iii).