UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

NEW YORK REGIONAL OFFICE
200 VESEY STREET, SUITE 400
NEW YORK, NY 10281-1022







JUSTIN P. SMITH
SENIOR COUNSEL
DIVISION OF
ENFORCEMENT

(212) 336-0043
SMITHJU@SEC.GOV




September 12, 2014

By ECF and UPS Overnight Delivery

The Honorable Sandra L. Townes
United States District Judge
Eastern District of New York
225 Cadman Plaza East
Brooklyn, New York 11201

The Honorable I. Leo Glasser
United States District Judge
Eastern District of New York
225 Cadman Plaza East
Brooklyn, New York 11201

Re: Securities and Exchange Commission v. Robert Bandfield et al.,
14-cv-5271 (E.D.N.Y.) (SLT) (RER)

Dear Judges Townes and Glasser:

Pursuant to Local Rule 50.4, the Securities Exchange Commission (Commission), by
and through its undersigned counsel, respectfully writes to inform the Courts of the factual
overlap between the above-captioned case (the Bandfield Civil Case), a civil action before
Judge Townes, and United States v. Robert Bandfield et al., 14-cr-476 (E.D.N.Y.) (ILG) (the
Bandfield Criminal Case), a criminal action before Judge Glasser. The three defendants in the
Bandfield Civil Case also are among the twelve defendants in the Bandfield Criminal Case.
Judicial efficiency likely will be increased if both actions are heard by the same judge.
The assignment of both cases to the same judge would likely serve the interests of justice
and lead to a savings of judicial resources. In the Bandfield Civil Case, the Commission has
charged the defendants with violating the beneficial ownership disclosure requirements of the
federal securities laws. The Commission has alleged that they operated an offshore business
designed to mask their clients assets, and thereby to evade the reporting requirements of the
securities laws, by assuming nominal ownership of their clients stock in U.S. microcap
companies through a pyramid of foreign entities. In the Bandfield Criminal Case, the United
States Attorney for the Eastern District of New York has charged the same three defendants (and
nine others) with conspiracy to commit securities fraud, among other charges, based in part on
similar allegations that those defendants concealed their clients true beneficial ownership in
U.S. companies.
Case 1:14-cv-05271-SLT-RER Document 4 Filed 09/12/14 Page 1 of 2 PageID #: 31
2

Because the subject matter, defendants, and underlying facts of the civil and criminal
cases overlap, the Commission respectfully submits that assignment of both cases to the same
judge would likely serve the interests of justice and result in a significant savings of judicial
resources.
Respectfully submitted,

/s/ Justin P. Smith

Justin P. Smith
Case 1:14-cv-05271-SLT-RER Document 4 Filed 09/12/14 Page 2 of 2 PageID #: 32