06/22/2010 16:30 561--478-6878 FEDEX OFFICE 1075 

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UNITED STATES DISTRICT COURT I 

FOR TilE SOUTHERN DISTRICT <JIF FLORI~~ A 

COMMODITY FUTURES TRADING 

COMMISSION, 

Plaintiff, 

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) 

) 

) 

) JUN 2 2 2010 

v. ) - STEVEN M. LARIMORE 

) CLERK U. s. DIST CT 

PHILIP !vULT ON, WIJ.J.Jk'vf CENTER, 

GREGORY CENTER, and ·TRADE, LLC. 

) S. D. of FLA._ W.P.B. · 

) CIVIL ACTION NO.: t 0 -- 8' 0 7 . 

Defendants, 

BD, LLC: CMJ Capital, LLC, Center 

Richmond, LLC, and TWTT, LLC. 

Relief Defendants. 

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) 

) 

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STATUTORY RESTFWNING ORDER I • 

ORDER FOR EXPED~TED DISCOVERY, 

AND ORDER TO SI-HpW CAUSE RE: 

PRELHvfll\1ARY IN.Tl{NCTION 

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STATUTORYRESTRAINING.ORDER TO FREE.ZE ASSE1rS. PRESERVE 

BOOKS AND RECORDS, ORDER FOR EXPEDITEU DISCOVJCRY, AND OR'OER 

TO SHOW CAUSE REGARDING PRELIMINARY INJUNCTION I 

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This matter came before the Coutt on the United State~. Con1.modily Futures Trading 

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Corro:nission' s ("Conunission") motion for an ex parte statutory restrainir~g order, an order for 

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expedited discovery~ and a11 order to sho\v cause regarding a prelin1inary it~junction. The Court, 

having co11sidcred the Conunission's motion! memorandun1 of law, compfaint, and other relevant 

materials, and all other evidence and argtunents presented by 1 he Com.1ni~:sion, finds that: 

1. This Court has jurisdiction over the parties and over the su~jcct m.ntter of this 

action pursuant to Section 6c of the Conunodity Exchange Act (Act), as a/mended, 7 U.S.C. 

§ 13a-1 (2006). 

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2. Ve11ue lies properly \vitrun this Distr.ict ptu·suantto Section tk(e) of the Act, I 

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7 U.S.C. § 13a-J (e). I 

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3. There is good cause to believe that defendants, Philip Miltol ("Milton"), Gregory 

Center ("G. Center"), William Center ("W. Center''), and Tracte, LLC ("1j[rade''), have engaged, 

~reengaging, or are ab~u~ to engage i~ acts and pr~ctices consticuting violaljions oflhe Act, 7 U.S. C. 

§ 1, et seq., and Comnuss1on Regulations (Regulations), 17 C.l' .R. § 1.1 et teq. (2009). 

4. There is good cause to be)jeve that relief defendants, BD~ L~C~ CMJ Capital, 

LLC, Celtte.r Richmond, LLC, lll)d TWTT, LLC Otcreinafter, "Relief DEifendants''), received 

funds and/or property as a result of the Defenda11tc;' unlawful )Onduct anq have been ~just]y 

eJJdched thereby. The Relief Defendants bave no legitimate tntitlement tlo or interest in all of 

the funds and/or property received as a result of the Defendants' unlawfut conduct. 

5. Titere is good cause to believe that iro.mediate m•d itTeparab!e damage to the Court's 

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ability to grant effective :final relief for investors in the fonn ofmouetacy n+·ess ·will occur from the 

sale, transfer, assignment, or other disposition by Defeitdants or Relief Deff~ndants of assets or 

records unless Defendants and Relief Defendants are immediatc~]y restrain.eo and enjoined by order 

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of the Court. / 

6. Good cause exists for freezing Defendants' and l:telief Deferjdaots' assets and for 

entry of an order prohibiting Defendants and Relief Defendants from destr~~ri.ng records and 

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denying agents of the Conurdssion access to inspect and copy rc~cords. I 

-:'f:w.., Ouo<l caUSe ex~ts to teqain: ,Ql dCCUWlting't.'o-tk~·~mt=~oosa,·fm"':~~r;nt).~·~ ~,_ 

gb GQQd cause exi.sl:s tOJ:mler repatriation ofaa!lets ~Olltrolled1~ e ~ ~-

tm¥ffient or reStitution and disgozgenJCnt .. t3 a:uthorizeEl and for the bsn9fi:t: e~gmere:' I 

1· Good cause exists to permit expedited discovery before thl ear]y 1neeti11g of 

counsel pursuant lo Rule 26( d) of dtc Federal Rules of Civi I hocedure, if order to ascertain the 

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existence and location of assets, cJarify the source of funds, and identify l~ll poo] participants and 

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other investors. I 

lt/1. 3, Weighing the equiti~ and considering the Commission's tikklihood of success in its 

claims for reliefl the issuance of a statutory restraining order is in the public interest. 

DEFINITIONS 

For the purposes of this order, the follo,ving definitions apply: 

11. The tenn "docum.ent" is synonymous in meaning and equz./t in scope to the usage 

of the term in Federal Ru1e of Civil Procedure 34(a), and inclndes, but is ~otlimitcd to, writings, 

drawings, graphs, charts, photographs, audio and video recorc;ings, comprter records, drives, 

networks, servers, and other data cotnpilations fr01n which h1fotmation c:rm be obtained and 

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translated, if necessary, through detection devices into reasonably usabletorm. A draft or nonidentical copy is a separate document within the meaning of U1e tenn. J 

12. ''Assets" n1ean any legal or equitable interest ir.., right to! Cft clai.tn to, any real or 

personal propetiy, including but not limited to: chattels, gooda, instnune~~ts, equipment, fixtw·es, 

general intangibles, effects, leaseholds, Jnail or other dclivcric;;s, invento~·. checks~ notes~ 

accounts including bank accounts a11d aCCOlllltS at financial in~;titutions: credits, receivables, lines 

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of credit, contracts including spot and futures contracts, h1sw·m1ce poli.ci+, and all cash, 

vvherever located. I 

13. "Defendants" shall mean and refer not only to .Milton, G. (~enter, W. Center, aJJ.d 

Trade, but also to any.dlb/~ successor, or other entity contxolJ~d by any dfthe aforementioned 

~M~~ I 

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14. "ReliefDe:fendants11 shall mean and refer to not only BD, r T...C, CM.T Capital, 

LLC, Center Richmond, LLC, and TWIT, LLC, but also to a•JY d/b/a, sLcessor, or other entity 

controlled by any of the aforen1entioncd parties. 

RELIEF GRANTED 

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ORDER AGAINST TRANSFER, DISSIPATION, AND DISPOSAL OF ASSETS 

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JT IS HEREBY ORDERED that: j 

I 5. Defendants, Relief Defendants, and their agent~, servants, tmployees, assigns, 

attorneys, and persons in active concert o•: participation with th(,ffi, who recrve actual notice of this 

order by personal scrvic~ or othenvise, are restrained and en:ioined frotn difectly or indirectly 

transferring, selling, alienating, liquidating, encumbeJing, pledging, leasi~g, loaning, assigning, 

concealing, dissipating, converting, withdrawing, or otherwis•J disposing ~f any assets, wherever 

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located, includirig assets held outside the United States, except as provid1d in Section III of this 

order, or as otherwise ordered by the Court. The assets affcctExl by this pe~agrapb shall include 

both ex.istiog assets and assets acquired after the effective date (If tbis order.l 

16. Defendants and ReliefDefend~ts are restrained and enjoi~ed from directly or 

indiJectly opening or causing to be opened any safe deposit b!•Xes titled it the name of or subject 

to access by any or aU of the Defendants and/or Relief Defendants. 1 

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DIRECTIVES TO FINANCIAL INSTITUTIPNS...AND /oTI-IERS 

IT IS FURT.fffiR ORDERED, pending further order of this CoJt, that any financial or 

brokerage institution, business entity, or person that holds, conu·ols, or m;~ntains custody of any 

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accotmt or asset of Defendants and/or Relief Defendants, or hat held, contr~lled, or 1naintained. I 

custody of any account or asset of Defendants and/or Relief Defendants at fny time since May 

2, 2007, shall: ! 

17. Prohibit Defendants, Relief Defendants and all other pcrsont from withdrawing, 

removing, assigning, transferring, pledging, encumbedng, disb11rsing, dissipating, converting, 

selling or otherwise disposing of any such asset except as directed by filltl:'trer order of the Court; 

18. Deny Defendants, Relief Defendants, and all other persons rdentified in this order, 

access to any safe deposit box that is: (a) titled in tbe name of Defendants rnd/or Relief 

Defendants either individually or jointly; or (b) othen.vise subj(-:ct to accesr"' by Defendants and/or 

Relief Defendants; 

~ Pr:e e'idc cowiSel for the Comm1ssjur~.: wlfh~"(:S) bosintrss-e 

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copy of this Order, a statenJent setting forth: (a) the identificatiOn number\ of each and 

account or asset titled in the name, individually or jointly, of each al)d cvf/ry D 

Relief Defendant, or held on behalf of, or for the benefit of eaJ~h and ev .r Defendant and/or 

Relief Defendant; (b) the balance of each such account, or a d<1s ption or the nature and value 

of such asset as of the close of business on the day on \vh· 1 t!tJis Order is) served, and, if the 

accotn1t or othe-r asset has been c.Iosed or retnoved 1e date clnsed or rembved, the total funds 

removed in order to close the account, and e name of the person or entit to whom such 

account or other asset was remitted; a (c) the identification of any safe !deposit box that is 

either titled in. the nam.e, indivi ally or jointly, of each and c·tery Defenc~1t and/or Relief or is 

by Defendant~ and/or Relief Defendants; and/ 

n request by the Commission, promptly provide the Clommission with copies 

ocumen · · · te S\:leh aceo~ mt or asset! J.llcludmg~ but not20. 

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pay back customers. This report shall also include a statetnent as to the e:fti1nated · 

take to distribute available assets to customers and wind up th~~ receiversl !' . I 

G. The Receiver and all perso1u1el hired by the Rece· ·as herein authorized, 

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including counsel to the Receiver, are entitled to reaso e cotnpensatiOJ~ for the perfo11nance of 

duties pursuru1t to th.is Order and for the cost o · tual out~of-\·>ockct experses incutTed by then1, 

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from the assets now held by, or in the P. session or control oi~ or whic.h I~ay be received by the 

Defendants. The Receiver shal c with the Court and se1:ve on the pruti~s, including Plaintiff I 

Conunission, periodic re ests for the payment of such reasonable comp~~nsation, with the fu·st 

more than sixty (60) days after the date, ,fthis Orde~·. Plaintiff Commission 

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o any part of a request within 30 calendar days of service of.11 request. The RecE:iver 

not increase the hourly rates used as the bases for suc.h f~~e applicati?ns \1\rithout prior 

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1\-IAINTENANCE OF BUSI~SS ~JtECORDSj 

IT IS FURTHER ORDERED that: 

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/? ... Defendants, Relief Defendants and their agenw, semmts: Efmployces, assigns, I 

attorneys, atld persons ]n active concert or participation wjth. th~tn, and al1 c~ther persons or entities 

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\Vho receive notice of this order by personal service or othenvise, are re~tfained and enjoined I 

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from directly or indirectly destroying, mutilating, erasing, altering, conct~aJ ing or disposing of, in 

any tnanner, directly or indirectly, any documents that relate to the busi.n~ss practices or business 

or personal finances of Defendants and/or Relief Defendants . 

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INSPECTION AND COPYING OF BOOKS AND REC~ORPS 

IT IS FURTI-IER ORDERED that: 

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..l o. a. Representatives of the Commission be immedi~.tely allowc•h to inspect the hooks, 

records, and other documents of Defendants, Relief Defcndantl; and their ,

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lgents, including, but 

not limited to, electronically stored data, hard drives, net\vork:-.~ servers, cc~mpact discs, tape 

recordings, and computer discs, wherever they may be situated and whe!b~r they arc in the 

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person of Defendants, Relief Defendants or others, and to cop)' said docul/nents~ data and records, 

either on or off the premises; and I 

.:2 1. tiJ. Defendants, Relief Defendants and their agents, ;;eTVants, e.nlployees, assigns, 

attorneys, and persons in active concert or participation with the Defendant~land/or Relief 

Defendants \vho receive actual notice of this order by personal service or ot

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erwise~ including 

facsimile transmission, shall cooperate fully with the Commis.~l<ln to locatejand provide to 

representatives of the Conurussion all books and records of Detendants aod/ Relief Defendants, I 

wherever such books and records may be situated. 

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ORDER PERMITTING EXPEDITED DISCOVlrRY 

IT IS FURTHER ORDERED that I 

:2/, •. The prohibition upon discovery before the ear:y meeti1Jg ,~f counsel is re.t1:1oved I 

pursuant to Rule 26(d) of the Federal Rules of Civil Procedure . I 

.,1.-l. H. The prohibition upon the immediate comm.encement of dlpositions is removed 

pursuant to Rule 30(a)(2)(C) of the Federal Rules of Civil Pr·:1cedure. 

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The parties n1.ay proceed to take the oral de})Osi1ion of any J erson upon three 

~v '~"'Jt.s.s 

•• ? days actual11otice if the notice is served upon the panies per.sonapy or by telecopier to 

the party's last known business telecopier number. tl 

~'1 . .iS. The patties tn.ay take the deposition of: ally person for the p rpose of discovering 

the nature, location, status and extent of assets of the Defendants or Relief Defendants atJd the 

location of any docun1ents reflecting those assets. 

BOND NOT REQUIRED OF PLA'JNTIFF 

IT IS FURTI:IER ORDERED that: 

::~ s: ..g. ~he Commission is an agency of the United Sta.ces of Am.etiJica and, accordingly, 

need not post a bond. 

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• ·vn. I 

ORDER TO SHOW CAUS~ I 

IT IS FURTHER ORDERED that: II 

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ti1 b. ft. Defendants shall appear before this Court on th<f ~ da~ of .) , • l ~ • 

2010, at 1 o ~~m., before tbe Honorab]e~r:.; .-r~ [J t the United States 

c..c:::::, v ,... t:.n:::::.Jo ·- 'i 

Courthouse for the Southen1 District of Florida, 7o r c tc Mt"~f ,_~ f=.r ~f:- to show cause, 

\.oV 12-S, t A---\ r"' f.£c ... r...h ~=r L 

if there be al)y, why an order for preHm.imuy injunction should not be ente:fed to preserve the 

status quo obtained by the statutory restraining order, prohibit ;:Urther viol,tions of the Act and 

grant other relief requested pending trial on the merits of this aGtion. I 

;J 7. 113. Should any party wish to .fi.le a memorandum of law or oth4 papers in opposition 

to Plai11ti:frs Motion for a Prelhninary I11jtmction, all papers shall be filed c

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n or before 

~;;..._"..:...,_/-e..._..J-<-Jo<or:;...,.._ _ _,.- 2010 au.d served no later than '3uJJ~ .3._,;:.:..o __ , 2C l 0. 

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SERVICE OF ORDER 

IT IS FUR TilER ORDERE:O that: I 

.2. g. 0. Copies of !his order may be served by any means, includinf facsimile 

ttanstnission, upon any entity or person that may have posscss1on, custod)r, or control of ally 

documents or assets of Defendants and/or Relief Defendants or that may 1:le subject to any 

provision of this order, and, additionally, that Paul Hayeck, Jo!m Dunfee, ~ason Mahoney, 

George Mal as, or any other representatives of the Commission are special~.y appointed by the 

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Court to effect service. Service of the summons, Complaint or other proctss may be effected by 

U.S. Marshal or Deputy U.S. Marshal, or in accordance with Fed. R. Civ. r· 4. 

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SERVICE ON THE COI\tiMISr5ION 

IT IS F.l.IRTHER ORDERED that: I 

~ CJ. IIi. Defendants a!ld Relief Defendants shall se.rve all pleadings[ correspondence, 

notices required by this Order: and other materials on the Commission by ~elivering a copy to I 

Jason Mahoney, Division of Enforcement, Con1l.nodity Future:.; Trading C·Pn:unissiol1, 1155 21st 

Street: N.\V.: Washington, D.C. 20581. I 

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ASSISTANCE OF UNITED ST..A TES MAF~SBAL SEl~VICE 

JT IS FURTHER ORDERED that: 

3 Cl. B. The United States M.arshals Service is directed lo assist the! Commission in the I 

service of the summons, complaint, and this statutory restraining order on 1the Defendants and 

Relief Defendants. 

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FORCE AND EFFECT 

IT IS FURTHER ORDERED that: 

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37. This order shall remain in full force and effect tmt~fwtheJ order of this Cowt and 

that this Comt retaills jurisdiction of this matter for all purpost~s. 

IT SO ORDERED, atu Jod:~.!..,_~Floridaon thisr:ld~ay of .~., t:'~' 2010. 

JUN 22 2010 16:25 

UNITED 

SOUTHERN 

STJ~[S~GE DISTRICTjOF FLORIDA 

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&S/0. 

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