STATE OF CALIFORNIA

BUSINESS, TRANSPORTATION AND HOUSING AGENCY

DEPARTMENT OF CORPORATIONS

1
2
3
4
5

TO:

Margrit Terceman
4455 Los Feliz Bl #601
Los Angeles, CA 90027

6
7

DESIST AND REFRAIN ORDER

State of California - Department of Corporations

8
9
10

(For violations of section 25401 of the Corporations Code)

The California Corporations Commissioner finds that:
1.

At all relevant times herein, Margrit Terceman (Terceman) was located at 4455 Los

11

Feliz Bl #601, Los Angeles, California 90027. Terceman claimed she was acting as a day trader for

12

an independent fund.

13

2.

Beginning in around April 2005 and continuing through at least May 2009, Terceman

14

offered and sold securities in the form of investment contracts comprised of pooled investor money

15

that she said she would use to trade equities, options and futures. Terceman obtained investment

16

money by soliciting unsophisticated friends and their family members and friends, by offering 2%-

17

5% profit per month on investments in equities, options and futures. Terceman offered and sold

18

securities to at least four investors in excess of $400,000.

19

3.

In connection with the offer and sale of these securities, Terceman made, or caused to

20

be made, misrepresentations of material fact or omitted to state material facts necessary in order to

21

make the statements made, in the light of the circumstances under which they were made, not

22

misleading. These misrepresentations and omissions included, but are not limited to the following:

23
24
25

a.

Terceman misrepresented to investors that the investment would earn a profit

of 2%-5% per month;

b.

Investors were not told that they were investing in a ponzi scheme and that any

26

returns received on their investment money came from other investor money and not from any

27

investment returns;

28

-1DESIST AND REFRAIN ORDER

1
2

c.

personal use constituting misuse of investor funds;

3
4

d.

e.

Terceman misrepresented to at least one investor that she was using investor

money to invest in a Swiss diamond mine.

State of California - Department of Corporations

Terceman misrepresented to investors that she was awaiting her license to

become a licensed day trader; and

5
6

Investors were not told that their money was to be used for Tercemans own

Based on the foregoing findings, the California Corporations Commissioner is of the

opinion that the securities offered and sold by Terceman were offered and sold in this state by means

of written or oral communications that included untrue statements of material fact or omitted to state

10

material facts necessary in order to make the statements made, in the light of the circumstances under

11

which they were made, not misleading, in violation of section 25401 of the Corporate Securities Law

12

of 1968.

13

Pursuant to Section 25532 of the Corporate Securities Law of 1968, Margrit Terceman is

14

hereby ordered to desist and refrain from offering or selling or buying or offering to buy any security

15

in the State of California, including, but not limited to, investment contracts comprised of pooled

16

investor money to trade equities, futures, and options by means of any written or oral communication

17

which includes an untrue statement of a material fact or omits to state a material fact necessary in

18

order to make the statements made, in the light of the circumstances under which they were made, not

19

misleading.

20

This Order is necessary, in the public interest, for the protection of investors and consistent

21

with the purposes, policies, and provisions of the Corporate Securities Law of 1968.

22

Dated:

23
24

March 29, 2010

Los Angeles, California
PRESTON DuFAUCHARD
California Corporations Commissioner

25
26
27
28

By
ALAN S. WEINGER
Deputy Commissioner
Enforcement Division

-2DESIST AND REFRAIN ORDER