U.S. SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 19604 / March 9, 2006

Securities and Exchange Commission v. Vector Medical Technologies, Inc., Michael H. Salit, James P. Farnell, Michael J. Farnell, David A. Zimmerman, and Stanley Wasser, Case No. 03-80858-CIV-HURLEY/LYNCH (S.D. Fla.)

Court Adopts Magistrate's Report and Recommendation in Full and Entered Final Judgment of Disgorgement and Civil Penalties Against Vector Medical Technologies, Inc., Michael Salit, James Farnell and Michael Farnell

The Securities and Exchange Commission announced that on February 1, 2006, the Honorable Daniel T.K. Hurley, United States District Court for the Southern District of Florida, adopted the Magistrate's Report and Recommendation in full and entered Final Judgment of disgorgement and civil penalties against Vector Medical Technologies, Inc., Michael Salit, James Farnell and Michael Farnell. On December 20, 2005, Magistrate Judge Frank J. Lynch, Jr., conducted an evidentiary hearing, and thereafter filed his Report and Recommendation. By adopting the Magistrate's Report and Recommendation in full, the District Court entered a Final Judgment that ordered Vector Medical to pay $14,208,718 in disgorgement and prejudgment interest; Salit to pay a $486,000 civil penalty; James Farnell to pay $1,127,796 in disgorgement and prejudgment interest and a $100,000 civil penalty; and Michael Farnell to pay $715,320 in disgorgement and prejudgment interest, and a $100,000 civil penalty.

For more information on earlier actions in this case, see Litigation Release No. 18348 (September 12, 2003); Litigation Release No. 18866 (September 2, 2004); Litigation Release No. 18947 (October 27, 2004); Litigation Release No. 18948 (October 27, 2004); Litigation Release No. 18949 (October 27, 2004).

http://www.sec.gov/litigation/litreleases/lr19604.htm