UNITED STATES OF AMERICA
Before the
SECURITIES AND EXCHANGE COMMISSION

Securities Exchange Act of 1934
Release No. 50503 / October 8, 2004

Admin. Proc. File No. 3-11699

I.

The Securities and Exchange Commission ("Commission") deems it appropriate and in the public interest that public administrative proceedings be, and hereby are, instituted pursuant to Section 15(b) of the Securities Exchange Act of 1934 ("Exchange Act") against Joseph J. Salerno, III ("Salerno") and Richard S. Ginsberg ("Ginsberg") (hereinafter collectively "Respondents").

II.

In anticipation of the institution of these proceedings, Respondents have submitted Offers of Settlement (the "Offers") which the Commission has determined to accept. Solely for the purpose of these proceedings and any other proceedings brought by or on behalf of the Commission, or to which the Commission is a party, and without admitting or denying the findings herein, except as to the Commission's jurisdiction over them and the subject matter of these proceedings, and the findings contained in Sections III. B and III. F below, which are admitted, Respondents consent to the entry of this Order Instituting Administrative Proceedings Pursuant to Section 15(b) of the Securities Exchange Act of 1934, Making Findings, and Imposing Remedial Sanctions ("Order"), as set forth below.

III.

On the basis of this Order and Respondents' Offers, the Commission finds that:

A. Salerno, 34, is a resident of Sunrise, Florida. From October 1996 to August 1998, Salerno was an owner and a registered principal and representative of The Hamilton Shea Group, Inc. ("Hamilton Shea"), a broker-dealer registered with the Commission.

B. On April 6, 2004, Salerno pled guilty to one count of filing a false broker-dealer registration statement with the Commission in violation of Title 15 United States Code, Sections 77x and 78o, before the United States District Court for the Middle District of Florida, in United States v. Salerno, Case No. 02-CR-330.

C. The count of the criminal information to which Salerno pled guilty on April 6, 2004 alleged that Salerno willfully violated the rules and regulations promulgated by the Commission and omitted to state a material fact in a registration statement required to be filed with the Commission. The count of the criminal information also alleged that, on or about August 1, 1997 and on or about December 1, 1998, while a registered principal at Hamilton Shea, Salerno filed false broker-dealer registration forms with the Commission.

D. While at Hamilton Shea, Salerno participated in an offering of Certified Diabetic Services, Inc. stock, which is a penny stock.

E. Ginsberg, 41, is a resident of Ft. Lauderdale, Florida. From December 1996 to July 1998, Ginsberg was a registered representative with The Hamilton Shea Group, Inc. ("Hamilton Shea"), a broker-dealer registered with the Commission.

F. On September 27, 2002, Ginsberg pled guilty to one count of wire fraud in violation of Title 18 United States Code, Section 1343, before the United States District Court for the Middle District of Florida, in United States v. Ginsberg, Case No. 02-CR-278.

G. The count of the criminal information to which Ginsberg pled guilty alleged that Ginsberg knowingly and willfully devised a scheme to defraud investors and obtain money and property by means of materially false and misleading statements, and executed the scheme through the use of wire interstate facilities. The information alleged that, from at least November 1997 through December 1998, Ginsberg and others made false and misleading statements to the investing public to gain control over the trading in, and to artificially inflate the prices of, the common stock of Pro Tech Communications, Inc. ("Pro Tech"), among other securities. In addition, the information alleged that Ginsberg failed to disclose to Hamilton Shea customers that he received excessive commissions on the sale of Pro Tech stock and that Ginsberg refused to execute customer sell orders, which resulted in investor losses.

H. Ginsberg participated in an offering of Pro Tech stock, which is a penny stock.

IV.

In view of the foregoing, the Commission deems it appropriate and in the public interest to impose the sanctions specified in Respondents' Offers.

Accordingly, it is hereby ORDERED:

A. Pursuant to Section 15(b)(6) of the Exchange Act, Respondents be, and hereby are barred from association with any broker or dealer;

Any reapplication for association by the Respondents will be subject to the applicable laws and regulations governing the reentry process, and reentry may be conditioned upon a number of factors, including, but not limited to, the satisfaction of any or all of the following: (a) any disgorgement ordered against the Respondents, whether or not the Commission has fully or partially waived payment of such disgorgement; (b) any arbitration award related to the conduct that served as the basis for the Commission order; (c) any self-regulatory organization arbitration award to a customer, whether or not related to the conduct that served as the basis for the Commission order; and (d) any restitution order by a self-regulatory organization, whether or not related to the conduct that served as the basis for the Commission order; and,

B. Respondents be, and hereby are, barred from participating in any offering of a penny stock, including: acting as a promoter, finder, consultant, agent or other person who engages in activities with a broker, dealer or issuer for purposes of the issuance or trading in any penny stock, or inducing or attempting to induce the purchase or sale of any penny stock.

By the Commission.

http://www.sec.gov/litigation/admin/34-50503.htm