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On Friday, March 17, 2017, James Torchia consented to a permanent injunction and the entry of a final judgment against him in the SEC’s civil case, without admitting or denying the substantive allegations in the SEC’s complaint. The Court entered a permanent injunction that prohibits Mr. Torchia from selling securities in the future by the use of untrue statements of material facts or misleading statements, and from engaging in any transaction that would operate as a fraud upon the purchaser of a security. The Court specifically barred Mr. Torchia from making false representations and omissions regarding rates of return and his businesses’ financial status in connection with the sale of securities based on sub-prime auto loans, life insurance settlements, or the sale of fractional interests in life settlement contracts. Later, after the Court approves a plan of distribution of receivership assets to the Credit Nation Capital investors and the total losses suffered by investors are determined, the Court will set the amount of the civil penalty and disgorgement that Mr. Torchia will be required to pay, if any, and a judgment will be entered against him in the amount that the Court determines. Mr. Torchia agreed that the SEC’s allegations of fraud may be accepted as true by the Court for purposes of that hearing. Mr. Torchia retains the right to contest the amount of the penalty and disgorgement. There will not be a trial in the SEC’s case against Mr. Torchia. Click here to read the full Consent Bifurcated Judgment as to Defendant James Torchia.