Motion Modifying The Freeze of Assets
Motion Modifying The Freeze of Assets
Motion Modifying The Freeze of Assets
LLC (“Hudgins” or “Defendant”), respectfully requests that this Court enter an Order
temporarily modifying this Court’s May 13, 2008 Statutory Restraining Order (“SRO”) to allow
for reasonable living expenses, as set forth and in the manner set forth below, until the date of the
hearing on the Order to show cause regarding preliminary injunction and other relief (“Motion”).
“Plaintiff”) filed its Complaint for Permanent Injunction, Civil Monetary Penalty, and Other
2. That same day, the Commission sought and obtained an Ex Parte SRO To Freeze
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Assets and Preserve Books and Records and for an Accounting, and an Order to Show Cause
3. The Court granted the SRO in its entirety, and ordered the Defendant to appear
before the Court on May 22, 2008 to show cause (“Show Cause Hearing”) why an Order for
Exchange Act (“CEA”), as amended, 7 U.S.C. §§ 1 et seq. (2002), and Commission Regulations
4. Simultaneous with the filing of this Motion, the parties have also filed a Joint
Motion to Reschedule Show Cause Hearing Regarding Preliminary Injunction, and to Extend
and Maintain the Statutory Restraining Order Freezing Assets, Preserving Books and Records
5. The SRO further ordered that “this Order [SRO] shall remain in full force and
effect until further order of this Court, and that his Court retains jurisdiction of this matter for all
6. Part I of the SRO (¶¶ 13-14) restrains and enjoins Defendant, and his agents,
servants, employees, attorneys and persons in active concert or participant with him, from
7. Pending the Show Cause Hearing, the Defendant requests a temporary and limited
modification to the asset freeze to permit him to pay for his reasonable living expenses in the
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living expenses, but no other expenses, so long as: (a) Defendant does not exceed $1,500 per
week; (b) the $1,500 is used solely for reasonable living expenses; (c) Defendant charges any
and all such expenses to the following credit card, and no other credit card: VISA – Farmers
State Bank; (d) Defendant maintains and provides to the Commission receipts of any and all
living expenses charged to that card on a weekly basis; and (e) any modification to the asset
freeze as provided in this paragraph does not extend beyond the scope of this paragraph, or the
date of the Show Cause Hearing, or as further provided by order of this Court. In addition,
Plaintiff reserves the right to challenge as “unreasonable” the $1,500 amount should good cause
exist to do so.
CONCLUSION
WHEREFORE, and for the foregoing reasons, Defendant’s Unopposed Motion For
Temporary and Limited Modification to Asset Freeze for Reasonable Living Expenses Until
Date of Show Cause Hearing On Preliminary Injunction. A copy of a proposed order is attached
hereto.
Respectfully submitted,
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CERTIFICATE OF SERVICE
I hereby certify that on the 21st day of May, 2008, I filed Defendants’ motion via the
Court’s CM/ECF system, which will send electronic notice to all counsel of record.
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