Skip Maine state header navigation
STATE OF
OFFICE OF SECURITIES
121 STATE HOUSE STATION
AUGUSTA, ME 04333
In re: Parasol
Films II, Inc., Parasol Films II, LLC, Erik Baquero, Dean McDaniel, Daniel
Duarte, Nicholas Melisse
NOTICE
OF INTENT
TO ISSUE CEASE AND
DESIST ORDER
03-016
ALLEGATIONS
1.
Parasol
Films II, Inc., (“Parasol”) is a foreign business entity with a last known business
address of
2.
Parasol
Films II, LLC, (“LLC”) is a foreign business entity with a last known business
address of
3.
Parasol
is the managing member of LLC.
4.
Erik Baquero (“Baquero”) is an individual
who at all times relevant to this matter has been the sole shareholder, Chairman,
Chief Executive Officer, President, and Director of Operations of Parasol and a
control person of Parasol and LLC, as defined in 32 M.R.S.A. §10602(3). Baquero’s last known business address is
5.
Dan
Duarte (“
6.
Dean
McDaniel (“McDaniel”) is an individual who at all times relevant to this matter
was an employee of Parasol with a last known business address of
7.
Nicholas
Melisse (“Melisse”) is an individual with a last known business address of
8.
During
the time period between March 2001 and May 11, 2001, Duarte, Melisse, and McDaniel solicited two Kittery, Maine,
residents (the “Maine residents”) by telephone on numerous occasions to invest
in a film called “Shooting Blanks” that was to star Patrick Swayze and Jennifer
Tilley.
9.
On or
about
10.
On
11.
On or
about
12.
On
13.
LLC
returned $800 to one
14.
Pursuant
to 32 M.R.S.A. § 10401, a person may not offer and sell any security in Maine
unless the security is registered under the Revised Maine Securities Act (the “Act”)
or the security or the transaction is exempt under the Act or the security is a
federal covered security.
15.
According
to the records of the Office, the units in LLC are not registered under the Act
for offer and sale in
16.
Parasol,
LLC,
17.
Pursuant
to 32 M.R.S.A. § 10301(1), it is unlawful for any person to transact business
in
18.
Parasol
violated 32 M.R.S.A. § 10301(1) when it offered and sold securities in
19.
McDaniel,
20.
Pursuant
to § 10301 (2), it is unlawful for any broker-dealer to employ or contract with
a person as a sales representative in
21.
Parasol violated
§ 10301(2) when it employed or contracted with McDaniel,
22.
Pursuant
to 32 M.R.S.A. § 10602(3), as a “control person” of Parasol and LLC, Baquero is liable for the securities law violations of Parasol,
LLC, McDaniel, Duarte, and Melisse, to the same
extent as Parasol, LLC, McDaniel, Duarte, and Melisse.
23.
Pursuant
to 32 M.R.S.A. § 10602(1), the administrator may issue a cease and desist order
if she reasonably believes that any person has engaged, is engaging or is about
to engage in any act or practice constituting a violation of any provision of
the Revised Maine Securities Act.
NOTICE
Pursuant to 32 M.R.S.A. § 10708(6), notice is hereby given that the Securities Administrator intends to issue an Order to Cease and Desist against respondents, pursuant to 32 M.R.S.A. § 10602.
Pursuant to
32 M.R.S.A. §10708 (2), interested parties have thirty (30) calendar days from
the entry of this Notice of Intent to file a written request for a hearing.
Date:
Christine A. Bruenn
Securities Administrator
Reviewed by:
Date:
Bonnie E. Russell
Assistant Securities Administrator
Presented by:
Date:
Norman E. Rutt
Investigator/Examiner