Donald Stoecklein in Trouble with SEC

[imSINGLEruRICH]

JRSwails
DIAMOND JEDI WARLORD
Post by JRSwails on May 5, 2015 at 6:08am


Desert Line executive faces trouble with Securities and Exchange Commission

Donald Stoecklein, president and former lead counsel for the troubled binational railroad known as the Desert Line, has run into trouble in the form of the Securities and Exchange Commission.

On March 11, the Securities and Exchange Commission filed a complaint against Stoecklein for failing to pay a 1997 settlement agreement over "ill-gotten gains" he received in the sale of stock in a Nevada-based company known as SoftPoint Inc.

The complaint is the latest development in the saga involving the Desert Line.

Stoecklein has served as Pacific Imperial Railroad's president two times since 2011. During those years Stoecklein, Pacific Imperial (which entered into a 99-year lease with Metropolitan Transit System in 2012), and many of its boardmembers, have had to answer to numerous allegations of fraud.

Former employees and business partners have gone on record with allegations that Stoecklein and Charles McHaffie (self-proclaimed "consiglieri" for Pacific Imperial) are running more of a ponzi scheme than a railroad. A majority of the shareholders, including McHaffie, have been involved in numerous businesses together.

(To find out more about the allegations, see the following stories: April 14, 2014, June 30, 2014, July 9, 2014, July 13, 2014, August 6, 2014, September 10, 2014, November 11, 2014, January 13, 2015, January 28, 2015)

In its complaint, the Securities and Exchange Commission accuses Stoecklein of violating anti-fraud and registration provisions and being involved in several "transactions under which common stock in a Nevada corporation known as SoftPoint, Inc., was issued to foreign entities and then sold to the investing public through brokerage accounts opened by Stoecklein."

This from a September 1995 cease-and-desist notice:

"From 1992 through 1994, SoftPoint and certain individuals engaged in a fraudulent scheme for the purpose of raising capital for SoftPoint Inc…. [T]hat scheme included SoftPoint's reporting of fictitious sales to certain foreign entities and the issuance of stock to several of these same foreign entities. Most of the proceeds from the sales into the public markets of the stock which had been issued to the foreign entities was then remitted to SoftPoint and used to pay down the debt that appeared to be owed to SoftPoint as a result of the fictitious sales."

Stoecklein made $287,000 from the sale, allegedly pocketing $19,975. Doing so, says the complaint, triggered an investigation by the Securities and Exchange Commission.

Stoecklein entered into a settlement agreement with the commission which required him to pay back the $19,975 plus interest.

The government never received the money and interest accrued. Now the Securities and Exchange Commission is demanding that he pay $73,751.

As of now it is uncertain whether Stoecklein will remain on board of Pacific Imperial. In January, Metropolitan Transit System executives announced that the company had been bought out by a new group of shareholders, one of whom was Jeffrey Kinsell, who has also had some run-ins with the Securities and Exchange Commission for his role in municipal bond schemes.

During a February interview, Jack Berkman, newly hired spokesperson for Pacific Imperial, declined to comment on whether the new shareholders will hire a new president. Berkman said the information will be provided during the March 12 Metropolitan Transit System board meeting.


www.sandiegoreader.com/news/2015/mar/11/ticker-donald-stoecklein-trouble-sec/#

[imSINGLEruRICH]

May 5, 2015 at 8:38am atb said:

Well, with all of the comotion that Stoecklein has caused with his letters, I'm not surprised that they haven't come up with something against him sooner.
In my opinion, it's a witch hunt. They go back 20 years and dig up a "Cease-and-Disist" notice.

One of the first things the PTB will do, is tarnish your name to kill your credibility.
I am not saying that Stoecklein is innocent, but, you have to ask the question, "Why now?"

I'm not buying it. Next.






Weener, Whiner, Not a Winner
DIAMOND JEDI WARLORD
May 5, 2015 at 8:25pm The Realist likes this.
Post by Weener, Whiner, Not a Winner on May 5, 2015 at 8:25pm

Securities and Exchange Commission filed a complaint against Stoecklein for failing to pay a 1997 settlement agreement

1997

2015-1997= 18 years

18 years ? SEC waited 18 years to bring this up?

Something is stinky here.
~~~~~~~~~~~~~~~~~~~~~~~~~~~

I am not saying stoecklein is innocent here either.. but I am more suspect of SEC bringing this up.. 18 years later..
I would not be surprised its organized attack on Stoecklein and also related to the negotiations in regards our trust.

[imSINGLEruRICH]

May 5, 2015 at 10:39am 144r said:

The SEC and DOJ are the LAST people I trust in all this. After all we had to beg them to look at NSS in the first place and they just denied it until Dave Patch and Patrick Byrne PROVED IT EXISTED.

Anyone trying to say otherwise is a complete LIAR and a HACK.

[John Winston Lennon O'Boogie]

When you read something like this, you wonder if he was also a bad guy in CMKX.. Not saying he is guilty.. When you add up all the players and most come out with a bad past, it really don't look like we have anything going for us but what Steve is trying to do with NHHI.

[e362]

May 7, 2015 7:49:48 GMT -5 imSINGLEruRICH said:

JRSwails
DIAMOND JEDI WARLORD
Post by JRSwails on May 5, 2015 at 6:08am


Desert Line executive faces trouble with Securities and Exchange Commission

Donald Stoecklein, president and former lead counsel for the troubled binational railroad known as the Desert Line, has run into trouble in the form of the Securities and Exchange Commission.

On March 11, the Securities and Exchange Commission filed a complaint against Stoecklein for failing to pay a 1997 settlement agreement over "ill-gotten gains" he received in the sale of stock in a Nevada-based company known as SoftPoint Inc.

The complaint is the latest development in the saga involving the Desert Line.

Stoecklein has served as Pacific Imperial Railroad's president two times since 2011. During those years Stoecklein, Pacific Imperial (which entered into a 99-year lease with Metropolitan Transit System in 2012), and many of its boardmembers, have had to answer to numerous allegations of fraud.

Former employees and business partners have gone on record with allegations that Stoecklein and Charles McHaffie (self-proclaimed "consiglieri" for Pacific Imperial) are running more of a ponzi scheme than a railroad. A majority of the shareholders, including McHaffie, have been involved in numerous businesses together.

(To find out more about the allegations, see the following stories: April 14, 2014, June 30, 2014, July 9, 2014, July 13, 2014, August 6, 2014, September 10, 2014, November 11, 2014, January 13, 2015, January 28, 2015)

In its complaint, the Securities and Exchange Commission accuses Stoecklein of violating anti-fraud and registration provisions and being involved in several "transactions under which common stock in a Nevada corporation known as SoftPoint, Inc., was issued to foreign entities and then sold to the investing public through brokerage accounts opened by Stoecklein."

This from a September 1995 cease-and-desist notice:

"From 1992 through 1994, SoftPoint and certain individuals engaged in a fraudulent scheme for the purpose of raising capital for SoftPoint Inc…. [T]hat scheme included SoftPoint's reporting of fictitious sales to certain foreign entities and the issuance of stock to several of these same foreign entities. Most of the proceeds from the sales into the public markets of the stock which had been issued to the foreign entities was then remitted to SoftPoint and used to pay down the debt that appeared to be owed to SoftPoint as a result of the fictitious sales."

Stoecklein made $287,000 from the sale, allegedly pocketing $19,975. Doing so, says the complaint, triggered an investigation by the Securities and Exchange Commission.

Stoecklein entered into a settlement agreement with the commission which required him to pay back the $19,975 plus interest.

The government never received the money and interest accrued. Now the Securities and Exchange Commission is demanding that he pay $73,751.

As of now it is uncertain whether Stoecklein will remain on board of Pacific Imperial. In January, Metropolitan Transit System executives announced that the company had been bought out by a new group of shareholders, one of whom was Jeffrey Kinsell, who has also had some run-ins with the Securities and Exchange Commission for his role in municipal bond schemes.

During a February interview, Jack Berkman, newly hired spokesperson for Pacific Imperial, declined to comment on whether the new shareholders will hire a new president. Berkman said the information will be provided during the March 12 Metropolitan Transit System board meeting.


www.sandiegoreader.com/news/2015/mar/11/ticker-donald-stoecklein-trouble-sec/#

Does it really surprise anyone that Stocklein was a scammer too? It cant be coincidence that a supposed security expert that now has a track record of shady security dealing was part of this debacle also. I cant wait for the conspiracy posters to come out proclaiming Stocklein is innocent just like UC and they are just trying to make him look bad. How can one stock have sooooo many crooks involved in one way or another? 
The theater of the absurd just keeps playing on!

[imSINGLEruRICH]

millie
DIAMOND JEDI MASTER
May 7, 2015 at 3:34pm IceCrush and logictx like this.

Hi Ice: I have surfed around and found nothing that indicates Donald Stoecklein was ever charged with any wrongdoing, although his brother was. It is unclear to me, but most things CMKX are! Oh well, let's just hope for the best for all of us regardless of the things we don't understand.

Millie






Weener, Whiner, Not a Winner
DIAMOND JEDI WARLORD

For millie.
I guess DS was not charged.. but was supposed to pay back the money he made..

[JoeRockss]

debintex
DIAMOND JEDI MASTER
****
debintex Avatar
Member since: December 2005
Posts: 1,273Female
May 12, 2015 at 10:38pm IceCrush and seagull like this.
Post Options
Post by debintex on May 12, 2015 at 10:38pm



This case is from 1995. I had the link to the SEC announcement in my CMKX file. The SEC had initiated enforcement proceedings against Don and the $19.9K was actually his offer of settlement without admitting or denying the SEC findings. Here's what the SEC notice stated (it's on page 1 of the link). www.sec.gov/news/digest/1995/dig090595.pdf

"ENFORCEMENT PROCEEDINGS CEASE AND DESIST PROCEEDINGS INSTITUTED AND SETTLED AGAINST DONALD STOECKLEIN

The Commission instituted and settled cease and desist proceedings pursuant to Section 8A of the Securities Act of 1933 and Section 21C of the Securities Exchange Act of 1934 against Donald J. Stoecklein for violating the securities registration and the antifraud provisions of the federal securities laws.

Stoecklein has submitted an Offer of Settlement which the Commission has determined to accept. In his Offer, Stoecklein, without admitting or denying the findings, consents to the issuance of an Order by the Commission which finds that Stoecklein directed the sale in the United States public markets of 190,000 shares of SoftPoint, Inc. stock that had been puportedly issued to foreign entities under Regulation S promulgated under the Securities Act, which is a safe harbor from registration for offshore offerings. The Order further finds that Stoecklein then distributed the proceeds from the sale of the "Reg Sft stock to SoftPoint and other individuals and entities. The Order also finds that Stoecklein's sale of the Reg S stock that had been issued tothe foreign entities, and his subsequent distribution of most of the proceeds to SoftPoint, were part of a fraudulent scheme engaged in by.SoftPoint, Inc. and certain other individuals and entities to raise capital for SoftPoint.

Pursuant to the Order, Stoecklein is ordered to cease and desist from committing or causing any violations and any future violations of the securities registration and the antifraud provisions of the federal securities laws. Stoecklein is also ordered to pay disgorgement in the amount of $19,975, plus prejudgment interest. (Rels. 34-36177; AAER-706)"