SEC NEWS DIGEST Issue 2006-159 August 17, 2006 ENFORCEMENT PROCEEDINGS FORMER PRINCIPAL OF CORAL SPRINGS, FLORIDA BROKER-DEALER WHICH RAISED OVER MILLIONS FROM INVESTORS IN A FRAUDULENT SECURITIES OFFERING SENTENCED TO 57 MONTHS IN PRISON AND ORDERED TO PAY $2.6 MILLION IN RESTITUTION The Commission announced today that on July 27, 2006, Erik B. Walsh, was sentenced by the Honorable K. Michael Moore, U.S. District Court Judge for the Southern District of Florida, to a federal prison sentence of 57 months and ordered to pay criminal restitution in the amount of $2.6 million. Both Walsh and John Abresch, former principals of Discovery Capital, Inc., a Coral Springs broker-dealer formerly registered with the Commission, were convicted after pleading guilty to violations of the federal securities laws in connection with their role in a "boiler room" operation that fraudulently induced investors in the U.S. and Europe to invest millions. Abresch's sentencing is scheduled for Sept. 11, 2006. In connection with the fraudulent Discovery Capital offering, Walsh was convicted of conspiracy to commit wire fraud, mail fraud and securities fraud (18 U.S.C. § 371), and securities fraud (15 U.S.C. §§ 78j(b) and 78ff(a), 17 C.F.R. § 240.10b-5). Walsh was also convicted of one count of making false statements to the Commission (18 U.S.C. § 1001(a)(2)), in connection with the Commission's on site examination of Discovery Capital in 2002. Specifically, Walsh lied in writing to examiners in response to their questions during the examination. In March 2002, the Commission brought an emergency action against Walsh and Abresch, charging them with violations of the antifraud and registration violations of the federal securities laws in connection with Discovery Capital's fraudulent securities offering. In that action, the U.S. District Court for the Southern District of Florida issued a temporary restraining order and an asset freeze to halt the on-going offering of securities by Discovery Capital. The District Court also appointed a receiver, Michael I. Goldberg, over Discovery Capital. The Commission's complaint alleged that from at least June 2001 through the filing of the action, Discovery Capital raised approximately $2.7 million through the use of a network of primarily unlicensed sales agents using high pressure sales tactics and making misrepresentations about, among other things, Discovery Capital's growth, its affiliations with well-known brokerage firms and other institutions, and the safety of the investments. The complaint further alleged that Walsh misappropriated investor proceeds. In October 2002, by consent, the District Court permanently enjoined Walsh and Abresch from violations of Section 17(a) of the Securities Act of 1933 (Securities Act) and Section 10(b) of the Securities Exchange Act of 1934 (Exchange Act), and Rule 10b-5 thereunder, and enjoined Discovery Capital from further violations of violations of Section 17(a) of the Securities Act, Sections 10(b), 15(c) and 17(a) of the Exchange Act, and Rules 10b-5, 15c1-2, 15c3-1, 17a-3, 17a-4, 17a-5, and 17a-11 thereunder. In October 2002, the Court further ordered Abresch to disgorge over $500,000, but waived payment of all but $195,000 and did not impose a civil money penalty based on Abresch's sworn financial statement and other information submitted to the Commission. In January 2003, the Court ordered Walsh to pay over $500,000 in disgorgement and prejudgment interest and imposed a $90,000 civil penalty. Subsequently, in March and April 2003, the Commission barred Walsh and Abresch, respectively, from association with a broker or dealer, and in March 2003, the Commission revoked the registration of Discovery Capital. For further information, see Litigation Release Nos. 17420 (March 19, 2002), 17813 (Oct. 29, 2002), 17812 (Oct. 29, 2002), 17914 (Jan. 7, 2003), and 19610 (March 16, 2006). [U.S. v. Eric Walsh, John Abresch, et al., USDC, SDFL, Crim. No. 06-20071-CR-Moore] (LR-19804) COMMISSION CHARGES EX-CON IN STOCK MANIPULATION SCHEME INVOLVING SAN FRANCISCO-BASED TECH COMPANY The Commission today charged a former felon, Jeffery Steven Stone, and his wife, Janette Diller Stone, with orchestrating a fraud scheme to inflate the price of WebSky, Inc., a San Francisco-based penny stock company, using spam email. Stone is a recidivist securities law violator, having been convicted of fraud in a prior market manipulation scheme and found liable in civil proceedings by the Commission. According to the complaint, Stone and Diller of Greenwich, Connecticut bought 288 million shares from WebSky based on false promises that the shares were being acquired for investment purposes. Within days, the two began selling the shares to third parties. Stone and Diller also engineered a spam email campaign that falsely portrayed WebSky - a start-up Internet company with virtually no revenues - as having a successful joint venture in Argentina that would result in over $40 million in annual revenues. In reality, WebSky's CEO had forbidden them from sending the spam email and informed them that WebSky's Argentina deal was no longer viable. The complaint alleges that, as a result of Stone and Diller's fraud, WebSky's stock price soared by over 300% on trading volume almost 20 times greater than normal, after which Stone and Diller sold their WebSky shares. Combined with proceeds from other stock sales during the scheme, Stone and Diller received more than $1 million in proceeds. The Commission also brought charges against WebSky and its CEO, Douglas Haffer, of Oakland, California, for selling WebSky shares in a subsequent transaction to an entity controlled by Diller without registering the transaction or securing an exemption from registration. Subject to court approval, WebSky and Haffer have agreed to settle the action, without admitting or denying the allegations, by disgorging the $35,000 received in the sale and consenting to a permanent injunction against future violations of the registration provisions of the federal securities laws. Haffer also has agreed to pay a $25,000 civil penalty. The complaint, filed in federal court in New York, New York, charges Stone and Diller with violating the antifraud, registration, and other provisions of the federal securities laws. The complaint also names two entities controlled by the Stones, Crescent Fund, LLC, based in New York, New York, and Pedracar, Inc, a Pennsylvania company. [SEC v. Jeffery Steven Stone, et al., Case No. 06-CIV-6258 (HB) (S.D.N.Y. filed Aug. 17, 2006)] (LR-19805) SEC CHARGES FORMER OFFICERS OF MILITARY BODY ARMOR SUPPLIER WITH FINANCIAL FRAUD The Commission today announced the filing of securities fraud charges against Dawn M. Schlegel and Sandra L. Hatfield, two former officers of DHB Industries, Inc., a major supplier of body armor to the United States military and law enforcement agencies. The SEC alleges that Schlegel, DHB's former Chief Financial Officer, and Hatfield, DHB's former Chief Operating Officer, routinely overstated the value of the company's inventory and directed the booking of numerous fraudulent journal entries in order to reduce the company's cost of goods sold. This had the effect of falsely increasing the company's gross profit margins, and in some instances, net income. As a result of their misconduct, DHB materially misstated key financial information in filings with the SEC and in public statements. According to the SEC's complaint, Schlegel, of Eastport, N.Y., and Hatfield, of Pompano Beach, Fla., regularly overstated the value of DHB's inventory by fraudulently increasing inventory quantities, labor costs, overhead costs, and the amount of raw materials used in DHB's products. The complaint alleges that together Hatfield and Schlegel also transferred millions of dollars of expenses from cost of goods sold to research and development costs to materially increase the company's gross profit. The complaint further alleges that Schlegel falsely inflated DHB's $60 million charge against earnings taken in the third quarter of 2005 to mask her and Hatfield's fraudulent conduct. Schlegel is alleged to have lied to DHB's auditors and provided fake inventory schedules and other documents to conceal the fraud. The complaint also alleges that during the period of their fraudulent conduct, Schlegel and Hatfield collectively profited by over $8.2 million from the cashless exercise of warrants and sale of over 400,000 DHB shares. Schlegel and Hatfield sold these shares at the end of 2004 at the height of DHB's stock price and before the public knew about the misrepresentations in DHB's filings and public statements. The Commission's complaint charges Schlegel and Hatfield with violating Sections 10(b) and 13(b)(5) of the Securities Exchange Act of 1934 (Exchange Act) and Rules 10b-5 and 13b2-1 thereunder, and aiding and abetting DHB's violations of Sections 13(a), 13(b)(2)(A), and 13(b)(2)(B) of the Exchange Act and Rules 12b-20, 13a-1, 13a-11 and 13a-13 thereunder. The complaint also alleges that Schlegel violated Rules 13b2-2 and 13a-14 under the Exchange Act. In its complaint, the Commission seeks permanent injunctions, disgorgement, civil penalties, insider trading penalties, and officer and director bars against Schlegel and Hatfield. The U.S. Attorney's Office for the Eastern District of New York conducted a parallel investigation of this matter. Simultaneous with the SEC's announcement of this action, the United States Attorney's Office announced the filing of charges against Hatfield and Schlegel for securities fraud and conspiracy to commit securities fraud. The staff's investigation is continuing. [SEC v. Dawn M. Schlegel and Sandra Hatfield, USDC SDFL, Civil Action No. 06-61251-CIV- SEITZ/McAliley] (LR-19806; AAE Rel. No. 2475; Press Rel. 2006-142) SELF-REGULATORY ORGANIZATIONS IMMEDIATE EFFECTIVENESS OF PROPOSED RULE CHANGE A proposed rule change (SR-NASD-2006-098) filed by the National Association of Securities Dealers to make certain technical, non- substantive changes to its trade reporting rules has become effective pursuant to Section 19(b)(3)(A) of the Securities Exchange Act of 1934. Publication is expected in the Federal Register during the week of August 21. (Rel. 34-54318) PROPOSED RULE CHANGE The National Association of Securities Dealers filed a proposed rule change (SR-NASD-2006-060) to require members to file regulatory notices with NASD electronically. Publication is expected in the Federal Register during the week of August 21. (Rel. 34-54319) APPROVAL OF PROPOSED RULE CHANGE The Commission approved a proposed rule change (SR-NYSE-2005-18) and Amendments No. 1 and 2 thereto filed by the New York Stock Exchange regarding Rule 619 to clarify that failure to appear or produce documents in arbitration may be deemed conduct inconsistent with just and equitable principles of trade. Publication is expected in the Federal Register during the week of August 21. (Rel. 34-54320) SECURITIES ACT REGISTRATIONS The following registration statements have been filed with the SEC under the Securities Act of 1933. The reported information appears as follows: Form, Name, Address and Phone Number (if available) of the issuer of the security; Title and the number and/or face amount of the securities being offered; Name of the managing underwriter or depositor (if applicable); File number and date filed; Assigned Branch; and a designation if the statement is a New Issue. Registration statements may be obtained in person or by writing to the Commission's Public Reference Branch at 100 F Street, N.E., Washington, D.C. 20549-1090 or at the following e-mail box address: . In most cases, this information is also available on the Commission's website: . S-3ASR DELPHI FINANCIAL GROUP INC/DE, 1105 NORTH MARKET STREET, SUITE 1230, WILMINGTON, DE, 19801, 302-478-5142 - 307,944 ($11,746,523.88) Equity, (File 333-136661 - Aug. 16) (BR. 01A) S-8 ACCO BRANDS CORP, 300 TOWER PARKWAY, LINCOLNSHIRE, IL, 60069, 847-484-4800 - 378,000 ($6,909,840.00) Equity, (File 333-136662 - Aug. 16) (BR. 05A) SB-2 Nova Mining CORP, 1189 HOWE STREET, SUITE 1504, VANCOUVER, A1, V6Z 2X4, (604) 781-0221 - 2,000,000 ($200,000.00) Equity, (File 333-136663 - Aug. 16) (BR. ) S-3ASR BEAR STEARNS COMPANIES INC, ONE METROTECH NORTH, 9TH FL, BROOKLYN, NY, 11201, 3476439862 - 0 ($0.00) Other, (File 333-136666 - Aug. 16) (BR. 07B) S-8 DEARBORN BANCORP INC /MI/, 22290 MICHIGAN AVE, PO BOX 2247, DEARBORN, MI, 48123-2247, 3132741000 - 0 ($1,205,000.00) Equity, (File 333-136667 - Aug. 16) (BR. 07C) S-8 ETRIALS WORLDWIDE INC., 4000 AERIAL CENTER PARKWAY, MORRISVILLE, NC, 27560, 919-653-3412 - 3,147,301 ($11,928,271.00) Equity, (File 333-136668 - Aug. 16) (BR. 03A) S-8 FLUSHING FINANCIAL CORP, 1979 MARCUS AVENUE , SUITE E140, LAKE SUCCESS, NY, 11042, 718-961-5400 - 212,687 ($3,618,869.31) Equity, (File 333-136669 - Aug. 16) (BR. 07C) S-8 HYPERCOM CORP, 2851 W KATHLEEN RD, PHOENIX, AZ, 85023, 6025045000 - 425,000 ($3,570,000.00) Equity, (File 333-136671 - Aug. 16) (BR. 03A) S-3 SATCON TECHNOLOGY CORP, 161 FIRST STREET, CAMBRIDGE, MA, 02142, 6176610540 - 26,715,175 ($31,791,058.25) Equity, (File 333-136673 - Aug. 16) (BR. 10C) S-8 IKANOS COMMUNICATIONS, 47669 FREMONT BLVD., FREMONT, CA, 94538, (510) 979-0400 - 280,592 ($1,083,450.41) Equity, (File 333-136675 - Aug. 16) (BR. 11) S-8 DYADIC INTERNATIONAL INC, 140 INTRACOASTAL POINTE DRIVE, SUITE 404, JUPITER, FL, 33477, 561-743-8333 - 2,700,000 ($15,039,000.00) Equity, (File 333-136676 - Aug. 16) (BR. 01C) S-8 Tejas Inc, 8226 BEE CAVES ROAD, AUSTIN, TX, 78746, 5123068222 - 320,000 ($1,241,600.00) Equity, (File 333-136677 - Aug. 16) (BR. 07C) S-3 ALFACELL CORP, 225 BELLEVILLE AVE, BLOOMFIELD, NJ, 07003, 9737488082 - 12,914,344 ($23,116,675.76) Equity, (File 333-136678 - Aug. 16) (BR. 01B) S-8 AXA, 25 AVE MATIGNON, PARIS FRANCE, I0, 2125544489 - 13,000,000 ($470,340,000.00) Equity, (File 333-136679 - Aug. 16) (BR. 01A) S-8 American Railcar Industries, Inc./DE, 100 CLARK STREET, ST. CHARLES, MO, 63301, 636-940-6000 - 0 ($31,211,151.00) Equity, (File 333-136680 - Aug. 16) (BR. 05B) S-3ASR INTERNATIONAL LEASE FINANCE CORP, 10250 CONSTELLATION BLVD., SUITE 3400, LOS ANGELES, CA, 90067, 3107881999 - 0 ($0.00) Debt, (File 333-136681 - Aug. 16) (BR. 06C) S-3 AMERICAN STATES WATER CO, 630 E FOOTHILL BLVD, SAN DIMAS, CA, 91773-9016, 9093943600 - 0 ($150,000,000.00) Equity, (File 333-136682 - Aug. 16) (BR. 02A) S-1 Acologix, Inc., 3960 POINT EDEN WAY, HAYWARD, CA, 94545, (510) 512-7200 - 0 ($115,000,000.00) Equity, (File 333-136683 - Aug. 16) (BR. ) S-8 ELBIT MEDICAL IMAGING LTD, ADVANCED TECHNOLOGY CENTER, HAIFA ISRAEL, L3, 31053, 747,590 ($20,228,873.00) Equity, (File 333-136684 - Aug. 16) (BR. 08B) S-1 HANSEN MEDICAL INC, 380 NORTH BERNARDO AVENUE, MOUNTAIN VIEW, CA, 94043, 650 404 5800 - 0 ($86,250,000.00) Equity, (File 333-136685 - Aug. 16) (BR. ) S-4 SUPERIOR ENERGY SERVICES INC, 1105 PETERS ROAD, HARVEY, LA, 70058, 5043624321 - 0 ($300,000,000.00) Non-Convertible Debt, (File 333-136686 - Aug. 16) (BR. 04C) S-8 BEARD CO /OK, 5600 N MAY AVE, STE 320, OKLAHOMA CITY, OK, 73112, 4058422333 - 300,000 ($315,000.00) Equity, (File 333-136687 - Aug. 16) (BR. 06B) RECENT 8K FILINGS Form 8-K is used by companies to file current reports on the following events: 1.01 Entry into a Material Definitive Agreement 1.02 Termination of a Material Definitive Agreement 1.03 Bankruptcy or Receivership 2.01 Completion of Acquisition or Disposition of Assets 2.02 Results of Operations and Financial Condition 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant 2.04 Triggering Events That Accelerate or Increase a Direct Financial Obligation under an Off-Balance Sheet Arrangement 2.05 Cost Associated with Exit or Disposal Activities 2.06 Material Impairments 3.01 Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing 3.02 Unregistered Sales of Equity Securities 3.03 Material Modifications to Rights of Security Holders 4.01 Changes in Registrant's Certifying Accountant 4.02 Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review 5.01 Changes in Control of Registrant 5.02 Departure of Directors or Principal Officers; Election of Directors; Appointment of Principal Officers 5.03 Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year 5.04 Temporary Suspension of Trading Under Registrant's Employee Benefit Plans 5.05 Amendments to the Registrant's Code of Ethics, or Waiver of a Provision of the Code of Ethics 6.01. ABS Informational and Computational Material. 6.02. Change of Servicer or Trustee. 6.03. Change in Credit Enhancement or Other External Support. 6.04. Failure to Make a Required Distribution. 6.05. Securities Act Updating Disclosure. 7.01 Regulation FD Disclosure 8.01 Other Events 9.01 Financial Statements and Exhibits 8-K reports may be obtained in person or by writing to the Commission's Public Reference Branch at 100 F Street, N.E., Washington, D.C. 20549-1090 or at the following e-mail box address: . In most cases, this information is also available on the Commission's website: . STATE NAME OF ISSUER CODE 8K ITEM NO. DATE COMMENT ------------------------------------------------------------------------------------------------------- 99 CENTS ONLY STORES CA 2.02,9.01 08/11/06 ABERCROMBIE & FITCH CO /DE/ DE 2.02,8.01,9.01 08/15/06 ACIES CORP NV 5.02 08/15/06 ACT TELECONFERENCING INC CO 2.02,9.01 08/14/06 ACURA PHARMACEUTICALS, INC NY 1.01,2.03,8.01,9.01 08/16/06 ADAM INC GA 1.01,2.01,2.03,3.02,9.01 08/14/06 Advance America, Cash Advance Centers DE 1.01,8.01,9.01 08/14/06 Advance Nanotech, Inc. CO 1.01,2.03,9.01 08/14/06 ADVANCED COMMUNICATIONS TECHNOLOGIES FL 1.01,2.03,8.01,9.01 08/11/06 ADVANCED COMMUNICATIONS TECHNOLOGIES FL 1.01,2.03,8.01,9.01 08/11/06 ADVO INC DE 8.01,9.01 08/16/06 AEROFLEX INC DE 2.02,9.01 08/16/06 AFC ENTERPRISES INC MN 1.01,9.01 08/10/06 ALDILA INC DE 1.01,7.01,9.01 08/09/06 ALLIANCE SEMICONDUCTOR CORP /DE/ DE 3.01,8.01,9.01 08/11/06 ALTRIA GROUP, INC. VA 8.01,9.01 08/16/06 AMCOMP INC /FL DE 2.02,7.01,9.01 08/16/06 AMEDISYS INC DE 7.01,9.01 08/16/06 AMERCO /NV/ NV 2.02,9.01 08/10/06 AMERIANA BANCORP IN 8.01,9.01 08/16/06 AMERICAN ELECTRIC POWER CO INC NY 5.02,9.01 08/16/06 AMERICAN EXPRESS RECEIVABLES FINANCIN DE 8.01,9.01 08/15/06 AMERICAN NATIONAL BANKSHARES INC VA 8.01,9.01 08/15/06 American Telecom Services Inc 2.02,9.01 08/15/06 AMERON INTERNATIONAL CORP DE 2.01,9.01 08/01/06 AMEND AMKOR TECHNOLOGY INC DE 4.02,9.01 08/16/06 AMKOR TECHNOLOGY INC DE 5.04,9.01 08/16/06 AMS HEALTH SCIENCES INC OK 2.02,9.01 08/14/06 ANNALY CAPITAL MANAGEMENT INC MD 8.01 08/15/06 ANNALY CAPITAL MANAGEMENT INC MD 8.01,9.01 08/16/06 ANNALY CAPITAL MANAGEMENT INC MD 8.01,9.01 08/16/06 AMEND ANTS SOFTWARE INC DE 5.02 08/16/06 Apple REIT Seven, Inc. VA 1.01,2.01,9.01 08/10/06 Ardent Acquisition CORP DE 8.01,9.01 08/16/06 ARKONA INC DE 2.02,9.01 08/16/06 AspenBio Pharma, Inc. CO 2.02,7.01,9.01 08/16/06 ASPYRA INC CA 2.02,9.01 08/15/06 ASSET ACCEPTANCE CAPITAL CORP 1.01 08/14/06 ASTORIA FINANCIAL CORP DE 3.03 08/16/06 BAKER MICHAEL CORP PA 2.02,9.01 08/15/06 Basin Water, Inc. CA 2.02,9.01 08/14/06 BEA SYSTEMS INC DE 2.02,9.01 08/16/06 BEXIL CORP MD 4.02 08/16/06 BIO KEY INTERNATIONAL INC MN 1.01,3.02,9.01 08/10/06 BIOANALYTICAL SYSTEMS INC IN 4.02,9.01 08/14/06 BIOANALYTICAL SYSTEMS INC IN 2.02,9.01 08/11/06 BioMed Realty Trust Inc MD 8.01 08/16/06 BLUE COAT SYSTEMS INC DE 2.02,9.01 08/16/06 BPZ ENERGY INC CO 7.01,9.01 08/16/06 BRADLEY PHARMACEUTICALS INC DE 8.01 08/14/06 BROADCASTER INC CA 2.01,9.01 06/01/06 AMEND BUTLER INTERNATIONAL INC /MD/ MD 1.01,8.01,9.01 08/14/06 CABLEVISION SYSTEMS CORP /NY DE 8.01 08/10/06 Calumet Specialty Products Partners, DE 1.01 08/11/06 CANARGO ENERGY CORP DE 7.01,9.01 08/15/06 CAPITAL GOLD CORP NV 1.01,2.03,3.02,3.03,5.03,9.01 08/14/06 CAPSTEAD MORTGAGE CORP MD 1.01 07/24/06 CAPTEC FRANCHISE CAPITAL PARTNERS L P DE 2.01,9.01 08/15/06 CARMIKE CINEMAS INC DE 3.01,8.01,9.01 08/14/06 CARREKER CORP DE 1.01 08/10/06 CATALINA MARKETING CORP/DE DE 1.01,5.03,7.01,9.01 08/10/06 CCH II LLC 8.01,9.01 08/11/06 CCH II LLC 8.01,9.01 08/11/06 CCI GROUP INC UT 1.01,5.01,5.02 08/10/06 CENTURY REALTY TRUST IN 2.02,9.01 08/14/06 CHANNELL COMMERCIAL CORP DE 2.02 08/15/06 CHARMING SHOPPES INC PA 2.02,9.01 08/16/06 CHART INDUSTRIES INC DE 1.01,5.02 08/15/06 CHARTER COMMUNICATIONS HOLDINGS LLC DE 8.01,9.01 08/11/06 CHARTER COMMUNICATIONS HOLDINGS LLC DE 8.01,9.01 08/11/06 CHARTER COMMUNICATIONS INC /MO/ DE 8.01,9.01 08/11/06 CHARTER COMMUNICATIONS INC /MO/ DE 8.01,9.01 08/11/06 CHEMBIO DIAGNOSTICS, INC. NV 7.01,9.01 08/14/06 CHINA BAK BATTERY INC NV 4.01,9.01 08/04/06 AMEND China Mineral Acquisition CORP 1.01,2.03,8.01,9.01 08/14/06 CIMBIX CORP WA 8.01 08/11/06 CIT GROUP INC DE 8.01,9.01 08/14/06 CITIBANK CREDIT CARD MASTER TRUST I DE 8.01 08/16/06 CLAYTON WILLIAMS ENERGY INC /DE DE 7.01,9.01 08/16/06 CLEAR CHANNEL COMMUNICATIONS INC TX 8.01,9.01 08/10/06 CNET NETWORKS INC DE 3.01,8.01,9.01 08/10/06 COGNITRONICS CORP NY 1.01,1.02,3.02,5.02,9.01 08/16/06 COLLECTORS UNIVERSE INC DE 7.01,9.01 08/16/06 COLLEGIATE PACIFIC INC DE 1.01,9.01 08/14/06 COMMODORE APPLIED TECHNOLOGIES INC DE 7.01,9.01 08/14/06 COMMUNICATION INTELLIGENCE CORP DE 1.01,2.02,9.01 08/12/06 COMMUNITY BANK SYSTEM INC DE 8.01,9.01 08/14/06 COMPUTER PROGRAMS & SYSTEMS INC DE 8.01 07/25/06 CONSOLIDATED GRAPHICS INC /TX/ TX 8.01,9.01 08/16/06 CONSTAR INTERNATIONAL INC DE 1.01,9.01 08/10/06 CONSUMERS BANCORP INC /OH/ OH 2.02,9.01 08/16/06 CONVERSION SERVICES INTERNATIONAL INC DE 1.01,3.02,9.01 08/16/06 CROWN CRAFTS INC DE 2.02,9.01 08/16/06 Crusade Global Trust No. 2 of 2005 8.01,9.01 08/14/06 CSP INC /MA/ MA 2.02,9.01 08/14/06 CULP INC NC 3.01,5.02 08/10/06 CV THERAPEUTICS INC DE 1.01,8.01,9.01 08/14/06 CytoCore Inc DE 8.01 08/16/06 DAKTRONICS INC /SD/ SD 2.02,9.01 07/29/06 DATALINK CORP MN 5.02,9.01 08/15/06 DEL MONTE FOODS CO DE 1.01,2.03,7.01,9.01 08/15/06 DELCATH SYSTEMS INC DE 8.01 08/16/06 DENBURY RESOURCES INC DE 5.02,9.01 08/16/06 DEVRY INC DE 1.01,9.01 08/15/06 DGSE COMPANIES INC NV 2.03,9.01 08/14/06 Dividend Capital Total Realty Trust I MD 2.01,9.01 06/28/06 AMEND EDGAR ONLINE INC DE 8.01,9.01 08/14/06 Edgen Corp 2.02,9.01 08/15/06 EDWARDS A G INC DE 8.01 08/16/06 ELDERWATCH INC 3.02,4.02,9.01 08/14/06 EMISPHERE TECHNOLOGIES INC DE 5.02 08/14/06 ENBRIDGE ENERGY PARTNERS LP DE 1.01,3.02,3.03,5.03,7.01,9.01 08/15/06 Enterprise GP Holdings L.P. DE 7.01 08/15/06 ENTERPRISE PRODUCTS PARTNERS L P DE 7.01,9.01 08/15/06 ENXNET INC OK 1.01 08/16/06 ESTEE LAUDER COMPANIES INC DE 9.01 08/16/06 EUROWEB INTERNATIONAL CORP DE 5.02,9.01 08/14/06 EVANS BANCORP INC NY 1.01,5.02,9.01 08/15/06 Evercore Partners Inc. DE 3.03,5.02,5.03,8.01,9.01 08/16/06 EXCO RESOURCES INC TX 7.01,9.01 08/16/06 F5 NETWORKS INC WA 3.01,9.01 08/14/06 Falcon Ridge Development Inc. NV 5.03,7.01,9.01 08/15/06 FAMILYMEDS GROUP, INC. NV 2.02,9.01 08/15/06 FAMILYMEDS GROUP, INC. NV 3.03,5.03,8.01,9.01 08/16/06 FARMSTEAD TELEPHONE GROUP INC DE 1.01,3.01,9.01 08/15/06 Federal Home Loan Bank of Topeka 7.01,9.01 08/16/06 FLOWSERVE CORP NY 5.03,9.01 08/14/06 AMEND FLUSHING FINANCIAL CORP DE 8.01,9.01 08/15/06 FOUR OAKS FINCORP INC NC 2.02,9.01 08/16/06 Franchise Capital Corp. NV 2.01,8.01 08/04/06 FUSION TELECOMMUNICATIONS INTERNATION 2.02,8.01,9.01 08/14/06 G/O INTERNATIONAL INC CO 1.01,2.01,3.02,5.01, 08/15/06 5.02,5.03,5.06,9.01 GAINSCO INC TX 2.02,9.01 08/14/06 GANDER MOUNTAIN CO MN 2.02,9.01 08/16/06 GENERAL ENVIRONMENTAL MANAGEMENT, INC NV 1.01 08/15/06 GENESEE & WYOMING INC DE 8.01 08/11/06 GENESIS ENERGY LP DE 7.01 08/16/06 GENITOPE CORP DE 7.01 08/15/06 GEO GROUP INC FL 2.02,8.01,9.01 08/10/06 Great Wolf Resorts, Inc. DE 8.01,9.01 08/16/06 GROUP 1 AUTOMOTIVE INC DE 8.01,9.01 08/03/06 GSE SYSTEMS INC DE 5.02,8.01 08/10/06 GTC BIOTHERAPEUTICS INC MA 1.01 08/10/06 GTECH HOLDINGS CORP DE 8.01 08/16/06 GTSI CORP DE 5.02,9.01 08/16/06 GYMBOREE CORP DE 2.02,9.01 08/16/06 HALOZYME THERAPEUTICS INC NV 1.01 08/11/06 HANOVER CAPITAL MORTGAGE HOLDINGS INC MD 2.02,8.01,9.01 08/10/06 HEALTHTRONICS, INC. GA 7.01,9.01 08/16/06 HERCULES OFFSHORE, INC. DE 7.01,9.01 08/16/06 HERLEY INDUSTRIES INC /NEW DE 4.01,9.01 07/27/06 AMEND HEWLETT PACKARD CO DE 2.02,8.01,9.01 08/15/06 HICKORY TECH CORP MN 1.01,8.01,9.01 08/16/06 HOMASSIST CORP NV 5.03,9.01 07/18/06 Home Equity Asset Trust 2006-6 DE 8.01,9.01 08/16/06 HORIZON HEALTH CORP /DE/ DE 2.03,9.01 08/09/06 HORIZON OFFSHORE INC DE 1.01,9.01 08/10/06 HOT TOPIC INC /CA/ CA 2.02,9.01 08/16/06 Houston Wire & Cable CO 5.02,9.01 08/11/06 HSBC Home Equity Loan Trust (USA) 200 DE 8.01,9.01 08/10/06 IA GLOBAL INC DE 1.01 08/15/06 IKANOS COMMUNICATIONS CA 2.02,9.01 07/31/06 AMEND Industrial Enterprises of America, In NV 5.02,7.01 08/16/06 INFORMEDIX HOLDINGS INC NV 5.02 08/10/06 INN OF THE MOUNTAIN GODS RESORTS & CA 2.02,9.01 08/15/06 INTERDIGITAL COMMUNICATIONS CORP PA 1.01 08/14/06 INTERDIGITAL COMMUNICATIONS CORP PA 2.02,9.01 08/16/06 INTERNATIONAL PAPER CO /NEW/ NY 5.04,8.01,9.01 08/15/06 INTERSTATE BAKERIES CORP/DE/ DE 7.01,9.01 08/15/06 INTUIT INC DE 8.01,9.01 08/16/06 INVESTORS FINANCIAL SERVICES CORP DE 5.02 08/14/06 INX Inc DE 2.02,9.01 08/15/06 IOMEGA CORP DE 3.02 07/10/06 AMEND IPASS INC DE 1.01,9.01 08/10/06 ITC Holdings Corp. MI 2.02,7.01,8.01,9.01 08/10/06 IVOICE, INC /DE DE 1.01,9.01 08/09/06 JMAR TECHNOLOGIES INC DE 2.02,7.01,9.01 08/14/06 KOS PHARMACEUTICALS INC FL 3.01,9.01 08/14/06 LAM RESEARCH CORP DE 5.02 08/10/06 LEHMAN BROTHERS HOLDINGS INC DE 9.01 08/11/06 LIFETIME BRANDS, INC DE 1.01 08/01/06 LIQUIDMETAL TECHNOLOGIES INC 8.01 08/11/06 LML PAYMENT SYSTEMS INC A1 7.01,9.01 08/08/06 LONGS DRUG STORES CORP MD 2.02,9.01 08/16/06 LUNA INNOVATIONS INC 1.01 08/10/06 LYONDELL CHEMICAL CO DE 1.01,1.02,2.01,2.03,9.01 08/16/06 MAJESCO ENTERTAINMENT CO DE 1.02,5.02,8.01 08/11/06 MANNATECH INC TX 1.01,9.01 08/15/06 McAfee, Inc. DE 4.02 07/27/06 AMEND MED-EMERG INTERNATIONAL INC 8.01 08/10/06 MEDALLION FINANCIAL CORP DE 1.01,2.03,9.01 08/14/06 MEDIALINK WORLDWIDE INC DE 2.02,9.01 08/14/06 MEDQUIST INC NJ 1.01,9.01 08/10/06 MENS WEARHOUSE INC TX 2.02,9.01 08/16/06 MERGE TECHNOLOGIES INC WI 3.01,9.01 08/14/06 MEXCO ENERGY CORP CO 2.02,9.01 08/16/06 MGP INGREDIENTS INC KS 2.02,7.01,9.01 08/16/06 MICROISLET INC NV 8.01,9.01 08/15/06 MILLENNIUM PLASTICS CORP NV 1.01,2.01,3.02,5.01,5.02, 07/31/06 5.03,5.06,8.01,9.01 MOTORCAR PARTS AMERICA INC NY 1.01,9.01 08/11/06 MOTORCAR PARTS AMERICA INC NY 2.02,9.01 08/14/06 MSAC Trust 2006-HE3 DE 8.01,9.01 05/25/06 AMEND MSC SOFTWARE CORP DE 2.02,9.01 08/10/06 MULTIBAND CORP MN 7.01,9.01 08/15/06 NATIONAL MERCANTILE BANCORP CA 2.02,4.02,9.01 08/14/06 NBTY INC DE 1.01,9.01 08/16/06 NCO GROUP INC PA 8.01,9.01 08/15/06 NETFABRIC HOLDINGS, INC DE 1.01,2.01,3.02,9.01 08/11/06 NETWORK APPLIANCE INC CA 2.02,9.01 08/16/06 New England Bancshares, Inc. 2.02,9.01 08/15/06 NEWPORT INTERNATIONAL GROUP INC DE 5.03,8.01,9.01 08/16/06 NEWS CORP 8.01,9.01 08/16/06 NGP Capital Resources CO MD 7.01,9.01 08/16/06 NOBLE CORP 7.01,9.01 08/16/06 NORTHERN STATES POWER CO MN 8.01 08/14/06 NS GROUP INC KY 7.01,9.01 08/16/06 NT HOLDING CORP. DE 1.01,9.01 04/28/06 AMEND Nuance Communications, Inc. DE 1.01 08/11/06 NUCO2 INC /FL FL 2.02,7.01,9.01 08/16/06 NUWAY MEDICAL INC DE 1.01,3.02,9.01 08/11/06 NYER MEDICAL GROUP INC FL 1.01,9.01 08/14/06 OILGEAR CO WI 2.02,9.01 08/14/06 OLD DOMINION FREIGHT LINE INC/VA VA 1.01,2.03,9.01 08/10/06 Omrix Biopharmaceuticals, Inc. DE 1.01 08/10/06 ON SEMICONDUCTOR CORP DE 1.01 08/10/06 OPTICAL CABLE CORP VA 8.01,9.01 08/16/06 ORACLE CORP 8.01,9.01 08/14/06 PACIFIC MAGTRON INTERNATIONAL CORP NV 1.01,1.03,8.01,9.01 08/11/06 PALM INC DE 1.01 08/08/06 PARALLEL PETROLEUM CORP DE 8.01,9.01 08/16/06 PATIENT INFOSYSTEMS INC DE 2.02,7.01,9.01 08/16/06 PATRON SYSTEMS INC DE 2.02,9.01 08/14/06 PEAPACK GLADSTONE FINANCIAL CORP NJ 5.02 08/10/06 PEPCO HOLDINGS INC DE 7.01,9.01 08/16/06 PERICOM SEMICONDUCTOR CORP CA 2.02,4.02,9.01 08/16/06 PetroHunter Energy Corp NV 1.01,5.02,5.03 08/16/06 PHARMOS CORP NV 1.01,2.02,8.01,9.01 08/10/06 PHH CORP MD 8.01,9.01 08/16/06 PHOTRONICS INC CT 2.02,9.01 08/15/06 PLATINUM ENERGY RESOURCES INC DE 5.02 06/30/06 PNC FINANCIAL SERVICES GROUP INC PA 7.01,9.01 08/16/06 POINT THERAPEUTICS INC DE 8.01,9.01 08/14/06 POLO RALPH LAUREN CORP DE 1.01 08/10/06 POLO RALPH LAUREN CORP DE 8.01,9.01 08/15/06 POLYMER GROUP INC DE 2.02,9.01 08/15/06 PONIARD PHARMACEUTICALS, INC. WA 5.02 08/16/06 PORTA SYSTEMS CORP DE 2.02,9.01 08/14/06 PPL CORP PA 7.01,9.01 08/16/06 Precision Aerospace Components, Inc. DE 5.02 08/10/06 PRINCIPAL LIFE INSURANCE CO IA 9.01 08/11/06 PRINCIPAL LIFE INSURANCE CO IA 9.01 08/11/06 PRO TECH COMMUNICATIONS INC FL 2.02,9.01 08/14/06 PROCENTURY CORP 7.01,9.01 08/16/06 PROGRESSIVE CORP/OH/ OH 7.01,9.01 08/16/06 PROLIANCE INTERNATIONAL, INC. DE 2.05,8.01 08/11/06 PROVIDENT COMMUNITY BANCSHARES, INC. DE 8.01,9.01 08/16/06 QUICKLOGIC CORPORATION CA 3.01,9.01 08/14/06 QUIXOTE CORP DE 2.02,2.05,2.06,9.01 08/15/06 RADNOR HOLDINGS CORP DE 1.01 08/10/06 RAE SYSTEMS INC DE 1.01,9.01 08/11/06 RAINIER PACIFIC FINANCIAL GROUP INC WA 2.02,9.01 08/16/06 RALI Series 2006-QO5 Trust DE 8.01,9.01 08/16/06 AMEND RAMBUS INC DE 5.02,9.01 08/15/06 RAMBUS INC DE 3.01,9.01 08/14/06 RAMP Series 2006-RZ3 Trust DE 8.01,9.01 08/16/06 RESIDENTIAL ASSET MORTGAGE PRODUCTS I DE 8.01,9.01 08/16/06 RICHARDSON ELECTRONICS LTD/DE DE 1.01,9.01 08/10/06 ROCKPORT HEALTHCARE GROUP INC DE 4.01,9.01 08/16/06 ROSS STORES INC DE 2.02,9.01 08/16/06 SACO I Trust 2006-7 DE 9.01 06/30/06 SADDLEBROOK RESORTS INC FL 4.01,9.01 08/10/06 SALESFORCE COM INC DE 1.01,2.02,5.02,9.01 08/16/06 SANMINA-SCI CORP DE 3.01 08/16/06 SANMINA-SCI CORP DE 1.01 08/16/06 SAPIENT CORP DE 1.01 08/10/06 SAVIENT PHARMACEUTICALS INC DE 9.01 08/04/06 AMEND SCIENTIFIC LEARNING CORP DE 2.02 08/09/06 SE FINANCIAL CORP 8.01,9.01 08/15/06 SEA CONTAINERS LTD /NY/ 8.01,9.01 08/16/06 SELECTIVE INSURANCE GROUP INC NJ 1.01,1.02,2.03,9.01 08/11/06 SHELLS SEAFOOD RESTAURANTS INC DE 2.02 08/10/06 Shire plc 8.01,9.01 08/14/06 SIERRA HEALTH SERVICES INC NV 2.02,5.02,9.01 08/16/06 SIGMA ALDRICH CORP DE 5.02,9.01 08/15/06 SIRVA INC DE 2.02,4.02,7.01,9.01 08/15/06 SLS INTERNATIONAL INC DE 1.01,9.01 08/11/06 Solo Cup CO DE 5.02,8.01,9.01 08/11/06 SOMERSET INTERNATIONAL GROUP,INC. DE 3.02 08/15/06 SONUS NETWORKS INC DE 3.01,9.01 08/14/06 SOUTHCREST FINANCIAL GROUP INC GA 1.01,9.01 08/11/06 ST JOE CO FL 2.05,9.01 08/11/06 STRATAGENE CORP DE 8.01,9.01 08/14/06 SUPREME INDUSTRIES INC DE 2.02,9.01 08/10/06 SYNOPSYS INC DE 2.02,9.01 08/16/06 SYNTROLEUM CORP DE 1.01 08/16/06 TALBOTS INC DE 2.02,9.01 08/16/06 TALLY HO VENTURES INC DE 1.01,2.01 08/04/06 TALX CORP MO 7.01 08/16/06 TECUMSEH PRODUCTS CO MI 2.02,9.01 08/15/06 TELKONET INC 2.01,9.01 08/14/06 TELTRONICS INC DE 2.02,9.01 06/30/06 TEPPCO PARTNERS LP DE 7.01,9.01 08/16/06 TERABEAM, INC. DE 1.01 08/14/06 TOREADOR RESOURCES CORP DE 4.02 08/16/06 AMEND Trinsic, Inc. DE 2.01,2.03,9.01 08/11/06 TRIPATH IMAGING INC DE 1.01,9.01 08/16/06 TRONOX INC DE 7.01,9.01 08/16/06 TRUE TEMPER SPORTS INC 2.02,7.01,9.01 08/16/06 TUTOGEN MEDICAL INC FL 8.01,9.01 08/11/06 TVIA INC DE 5.02,9.01 08/10/06 TWEEN BRANDS, INC. DE 2.02,9.01 08/16/06 ULTRASTRIP SYSTEMS INC FL 1.01,5.02,5.03,9.01 08/09/06 UNITED MORTGAGE TRUST MD 1.01,9.01 08/14/06 UNIVERSAL CITY DEVELOPMENT PARTNERS L 5.02 08/10/06 UNIVERSAL CITY DEVELOPMENT PARTNERS L 7.01 08/16/06 Universal City Florida Holding Co. I FL 5.02 08/10/06 Universal City Florida Holding Co. I FL 7.01 08/16/06 VALASSIS COMMUNICATIONS INC DE 8.01,9.01 08/16/06 VALENCE TECHNOLOGY INC DE 7.01,9.01 08/16/06 Valentec Systems, Inc DE 8.01,9.01 08/16/06 VALLEY NATIONAL GASES INC WV 2.02,9.01 08/16/06 VCAMPUS CORP DE 2.02,9.01 08/14/06 Venoco, Inc. DE 2.02,8.01,9.01 08/14/06 VERINT SYSTEMS INC 1.01,5.02,9.01 08/14/06 VFINANCE INC DE 8.01 08/14/06 VIASYS HEALTHCARE INC DE 5.02 08/14/06 VIRBAC CORP DE 5.04 08/15/06 VISTA GOLD CORP 1.01,9.01 07/06/06 AMEND Vocus, Inc. DE 8.01 08/14/06 WACHOVIA ASSET SECURITIZATION INC 200 8.01,9.01 07/25/06 AMEND WALTER INDUSTRIES INC /NEW/ DE 1.01,9.01 08/10/06 Warrior Energy Services CORP DE 7.01,9.01 08/15/06 WELLS REAL ESTATE INVESTMENT TRUST IN MD 7.01,9.01 08/16/06 WESTERN GAS RESOURCES INC DE 8.01,9.01 08/15/06 Western Refining, Inc. DE 1.01,5.02,9.01 08/15/06 WIDEPOINT CORP DE 5.02 08/15/06 WILLIS LEASE FINANCE CORP DE 2.02,7.01,9.01 08/11/06 WINDSTREAM CORP DE 4.01,9.01 08/14/06 WINN DIXIE STORES INC FL 7.01,9.01 08/15/06 WJ COMMUNICATIONS INC DE 1.01,5.02,9.01 08/10/06 WMS INDUSTRIES INC /DE/ DE 1.01 08/14/06 WORLDSPAN L P DE 5.02 08/14/06 XCEL ENERGY INC MN 8.01 08/14/06 ZOOM TECHNOLOGIES INC DE 1.01,9.01 08/14/06 Zumiez Inc 2.02,9.01 08/16/06