UNITED STATES SECURITIES AND EXCHANGE COMMISSION

LITIGATION RELEASE NO. 17134 / September 18, 2001

Securities and Exchange Commission v. Timothy Hansen and Private Funding, Inc., Civil No. 2:01CV-0706K (USDC D.UT).

On September 12, 2001 the Commission filed an application for an order to enforce an investigative subpoena served on Timothy Hansen and Private Funding, Inc. on August 23, 2001. The subpoena sought documents and testimony from Hansen and Private Funding related to their activities as sales agents for notes issued by The Wynn Company, a Utah corporation headquartered in Salt Lake City.

Hansen and Private Funding refused to comply with the subpoena on the ground that the notes in question are not securities. In its motion, the Commission argues: (1) the Commission may conduct relevant investigations within its prescribed authority in order to determine whether the investment product in question is, in fact, a security and whether there have been violations of the federal securities laws; and (2) the notes offered by the Wynn Company appear to be securities as defined by the federal securities laws. A hearing on the Commission's motion has been scheduled for September 27, 2001.