Entertainment Legal News

SEC Charges Entertainment Promoter Jack Utsick and Others

Washington, D.C., April 17, 2006 - The Securities and Exchange Commission today announced that it filed a civil injunctive action in the United States District Court for the Southern District of Florida charging Worldwide Entertainment, Inc. and Entertainment Group Fund, Inc. and their principal John P. (Jack) Utsick, and American Enterprises, Inc. and Entertainment Funds, Inc. and their principals Robert Yeager and Donna Yeager, in connection with a fraudulent offering that raised over $300 million from over 3,300 investors nationwide.

The Commission also requested the appointment of a receiver over all four corporate defendants. Simultaneously with the complaint, the Commission filed consents executed by all the defendants, with proposed judgments. Defendants, without admitting or denying the allegations of the complaint, consented to the entry of a permanent injunction, an asset freeze, repatriation order, repayment of amounts they received, and penalties.

Linda Chatman Thomsen, the Director of the Commission's Division of Enforcement, said, "Fraudulent schemes and the misuse of funds have a devastating impact on investors' faith in capital raising efforts. We will continue vigorously to enforce the securities laws against those who engage in such schemes."

David Nelson, Director of the Commission's Southeast Regional Office in Miami, said, "Even businesses that tout their success through affiliations with public figures and celebrities, can turn out to be frauds. Investors should keep in mind that investments that are not registered with the SEC are often among the riskiest."  Read more at sec.gov

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	Did You Know?
	Production Company is a major factor in entertainment The production company acts as central headquarters for all stages of production. They range in size from a single person to over twenty employees and commit to duties ranging from the inception of an idea to making sure the final print's delivered to the theater on premiere night. They're core functions, however, are to assist the headlining producer in developing scripts, attaching talent, and running the day-to-day production activity. Although a handful of production companies fall under corporate studio umbrellas that cover their overhead, most work on a project-to-project basis much like the artists.