However, the Court waived payment of disgorgement and prejudgment interest, and did not impose a civil penalty, based on Burns' demonstrated inability to pay. The Commission's complaint in the action referenced in paragraph III.B. alleged that from February 1994 until May 1998, Trading Company and Burns offered and sold limited partnership interests in Trading Company to investors when no registration statement had been filed or was in effect as to such securities. In connection with the offers and sales of interests in Trading Company, Burns misrepresented the trading strategy he would and did implement, telling investors he would engage in a very conservative strategy while actually engaging in a much more risky, and highly leveraged, approach. In addition, each month Burns sent account statements to the individual investors in Trading Company which misrepresented both their individual return and the performance of the partnership overall. In view of the foregoing, the Commission deems it appropriate and in the public interest to accept the offer submitted by Burns and to impose the sanctions specified in the Offer.
Burns be, and hereby is, barred from association with any broker, dealer, or investment adviser.
By the Commission.