Systems of Excellence and Charles O. Huttoe

On November 7, 1996, the SEC obtained temporary restraining orders, asset freezes, and other emergency relief against Systems of Excellence (SOE), Charles Huttoe, SOE's Chairman and CEO, and a number of other defendants. The SEC alleged that Huttoe orchestrated a massive market manipulation in SOE stock by distributing millions of unregistered SOE shares, making false and misleading press releases to raise SOE stock price, and selling SOE shares at artificially inflated prices.

The SEC has posted numerous litigation releases about the SOE fraud. You can find them by visiting the SEC's website and inserting the words "Systems of Excellence" in its search engine.

The Court primarily responsible for the SOE enforcement actions appointed Thomas A. Ferrigno as Receiver to collect assets recovered in the cases resulting from this investigation. The SEC has collected approximately $15 million in assets and is trying to recover other assets. The SEC has now filed a motion with the Court to appoint Mr. Ferrigno as the Distribution Agent for the Receivership assets in accordance with a specific Distribution Plan. If the Court approves the Distribution Plan and appoints him the Distribution Agent, Mr. Ferrigno expects to send notices and claims forms to eligible claimants at their last known addresses.

If you have any questions about the Receivership, you can contact the Receiver at:

Thomas A. Ferrigno, Esq.
Hughes Hubbard & Reed LLP
1775 I Street, N.W.
Suite 600
Washington, D.C. 20006-2401
(202) 721-4680

http://www.sec.gov/divisions/enforce/claims/huttoe.htm