UNITED STATES SECURITIES AND EXCHANGE COMMISSION

SEC Admin Release 34-87326 / October 17, 2019: 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") and Section 203(f) of the Investment Advisers Act of 1940 ("Advisers Act") against Donald Toomer, Jr. ("Respondent"). The Commission finds that On March 18, 2019, Toomer pleaded guilty to one count of fraud and false statements in violation of 26 United States Code, Section 7206(1), in United States v. Toomer, 19 Cr. 00138 (D.N.J.). On September 17, 2019, a final judgment was entered by consent against Toomer, permanently enjoining him from future violations of Section 17(a) of the Securities Act, and Section 10(b) of the Exchange Act and Rule 10b-5 thereunder, in the civil action entitled SEC v. DelPresto, et al., No. 15 Civ. 8656 in the United States District Court for the District of New Jersey. The Commission's First Amended Complaint alleged, among other things, that Toomer participated in a fraudulent scheme to manipulate the securities of three issuers, NXT Nutritionals Holdings, Inc.; Mesa Energy Holdings, Inc.; and ClearLite Holdings, Inc. (the "Issuers"). The complaint further alleged that, Toomer agreed to buy the stock of the Issuers in his clients' portfolios in exchange for receiving kickbacks of up to 10% of the total shares he had his clients buy. Toomer's purchases in his clients' accounts in the open market contributed to the Issuers' rising stock price and gave the false appearance of market demand for the securities. The counts of the criminal information to which Toomer pled guilty alleged, inter alia, that Toomer signed and filed a U.S. Individual Income Tax Return for the calendar year 2010, which he did not believe to be true and correct as to every material matter in that the return failed to report certain income that Toomer received in 2010.

Order

Bar (Permanent)

association with a broker, dealer, investment adviser, municipal securities dealer, municipal advisor, transfer agent, or NRSRO

Indefinite

10/17/2019

FRAUD AND FALSE STATEMENTS

Pled guilty

Claimant alleges that investment recommendations made between 2004 and 2005 were misrepresented and unsuitable. Claimant alleges he has suffered monetary losses.

$75,000.00

FINRA

Respondent Toomer failed to respond to FINRA request for information.

Decision

Bar (Permanent)

All Capacities

Indefinite

10/5/2016

Monetary Penalty other than Fines

$1,280.24

Toomer is also ordered to pay hearing costs of $1,280.24.

On June 1, 2016, Toomer filed a written request for a hearing with the Office of Hearing Officers, which stayed the effective date of the suspension. Expedited Hearing Panel decision rendered October 5, 2016. The sanctions were based on findings that Toomer refused to provide documents and information as requested by FINRA. The decision is final on October 5, 2016. Expedited Proceeding No. FPI160009.

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

SEC Press Release 2015-286/December 21, 2015: The SEC amended its complaint to additionally name Donald Toomer Jr., a Las Vegas-based financial advisor who allegedly agreed to buy shares of three microcap stocks in client accounts in exchange for hundreds of thousands of dollars in cash kickbacks. The SEC alleges that Toomer abused his role as a financial advisor to help create the false appearance of market demand in these stocks and facilitate the pump-and-dump scheme. The SEC's amended complaint charges Toomer with violations of the antifraud provisions of the federal securities laws. These fraudulent schemes generated profits of approximately $13 million for another respondent and his entity. As agreed, the other respondent and his business partner paid Toomer kickbacks of hundreds of thousands of dollars, which Toomer described as equaling approximately 10 percent of the price of an Issuers' stock purchased by Toomer on behalf of his clients. The complaint alleges that Toomer violated Sections 17(a)(1) and 17(a)(3) of the Securities Act of 1933 and Section 10(b) of the Securities Exchange Act of 1934 and Rules 10b-5(a) and 10b-5(c).

Judgment Rendered

Disgorgement

$19,334.62

Monetary Penalty other than Fines

Injunction

permanently restrained; permanently barred from participating in an offer of penny stock

WELLS FARGO ADVISORS FINANCIAL NETWORK LLC

Voluntary Resignation

ALLEGATIONS THAT TOOMER VIOLATED THE ANTIFRAUD PROVISION OF THE FEDERAL SECURITIES LAWS.

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

SEC PRESS RELEASE 2015-286/DECEMBER 21, 2015: THE SEC AMENDED ITS COMPLAINT TO ADDITIONALLY NAME DONALD TOOMER JR., A LAS VEGAS-BASED FINANCIAL ADVISOR WHO ALLEGEDLY AGREED TO BUY SHARES OF THREE MICROCAP STOCKS IN CLIENTS ACCOUNTS IN EXCHANGES FOR HUNDREDS OF THOUSANDS OF DOLLARS IN CASH KICKBACKS. THE SEC ALLEGES TOOMER ABUSED HIS ROLE AS A FINANCIAL ADVISOR TO HELP CREATE THE FALSE APPEARANCE OF MARKET DEMAND IN THESE STOCKS AND FACILITATE THE PUMP AND DUMP SCHEME. THE SEC'S AMENDED COMPLAINT CHARGES TOOMER WITH VIOLATIONS OF THE ANTI-FRAUD PROVISIONS OF THE FEDERAL SECURITIES LAWS. THESE FRAUDULENT SCHEMES GENERATED PROFITS OF APPROXIMATELY $13 MILLION FOR ANOTHER RESPONDENT AND HIS ENTITY. AS AGREED, THE OTHER RESPONDENT AND HIS BUSINESS PARTNER PAID TOOMER KICKBACKS OF HUNDREDS OF THOUSANDS OF DOLLARS, WITH TOOMER DESCRIBED AS EQUALING APPROXIMATELY 10 PERCENT OF THE PRICE OF AN ISSUERS' STOCK PURCHASED BY TOOMER ON BEHALF OF HIS CLIENTS. THE COMPLAINT ALLEGES THAT TOOMER VIOLATED SECTIONS 17(A)(1) AND 17(A)(3) OF THE SECURITIES ACT OF 1933 AND SECTION 10(B) OF THE SECURITIES EXCHANGE ACT OF 1934 AND RULES 10B-5(A) AND 10B-5(C).

SECURITIES FRAUD

INVESTMENT ADVISER FRAUD

CONSPIRACY TO COMMIT SECURITIES FRAUD AND INVESTMENT ADVISER FRAUD