Case 3:17-cv RS Document 380 Filed 04/19/18 Page 1 of 5

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1 Case :-cv-00-rs Document 0 Filed 0// Page of JINA L. CHOI (N.Y. Bar No. ) ANDREW J. HEFTY (Cal. Bar No. 0) heftya@sec.gov SUSAN F. LA MARCA (Cal. Bar No. ) lamarcas@sec.gov THOMAS J. EME (Ill. Bar No. 0) emet@sec.gov Attorneys for Plaintiff SECURITIES AND EXCHANGE COMMISSION Montgomery Street, Suite 00 San Francisco, CA () 0-00 UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF CALIFORNIA SAN FRANCISCO DIVISION SECURITIES AND EXCHANGE COMMISSION, v. Plaintiff, SAN FRANCISCO REGIONAL CENTER, LLC; THOMAS M. HENDERSON; CALIFORNIA GOLD MEDAL, L.P.; CALLSOCKET, L.P.; CALLSOCKET II, L.P.; CALLSOCKET III, L.P.; COMPREHENSIVE CARE OF OAKLAND, L.P.; NAPL, L.P.; WEST OAKLAND PLAZA, L.P.; CALLSOCKET, LLC; CALLSOCKET II, LLC; CALLSOCKET III, LLC; COMPREHENSIVE CARE OF CALIFORNIA, LLC; IMMEDIA, LLC; NORTH AMERICA PL, LLC; Defendants, CALLSOCKET HOLDING COMPANY, LLC; CALLSOCKET III HOLDING COMPANY, LLC; CENTRAL CALIFORNIA FARMS, LLC; BERKELEY HEALTHCARE DYNAMICS, LLC; JL GATEWAY, LLC; Relief Defendants. Case No. :-cv-00-rs (JCS) JOINT SUPPLEMENTAL CASE MANAGEMENT STATEMENT Date: Thursday, April, Time: :0 a.m. Location: Courtroom, th Floor 0 Golden Gate Ave. San Francisco, CA Honorable Richard Seeborg

2 Case :-cv-00-rs Document 0 Filed 0// Page of Pursuant to the Clerk s Notice Scheduling a Further Case Management Conference (ECF ), Plaintiff Securities and Exchange Commission (the SEC ) and Defendant Thomas M. Henderson (hereafter, the parties ) submit this Joint Supplemental Case Management Statement in anticipation of the Case Management Conference to be held April, at :00 a.m.. FACTS The SEC alleges that from approximately September through January, Defendant Thomas Henderson and the various entity defendants defrauded a total of approximately persons who together invested approximately $ million for businesses related to Defendant San Francisco Regional Center, LLC ( SFRC ), and who together paid to defendants an additional $. million in fees. The investors were foreign nationals predominantly from China, enticed to invest in seven different businesses as part of the EB- Program administered by the U.S. Citizenship and Immigration Services. That program allows foreign nationals to qualify for U.S. residency by investing $00,000 in a specified, job-creating project. In the offering materials defendants used to solicit investors in each of the projects, including Private Placement Memoranda and Business Plans, they made false statements about the uses of the investors funds. Contrary to the offering materials provided for each project, defendants did not use the funds raised solely to establish or run the specified projects; instead, most of the funds raised were funneled through SFRC and then disbursed at the discretion of Henderson, to pay for Henderson s personal uses, to fund separate, private business interests of his, and to fund other EB- businesses, in an elaborate shell game. Mr. Henderson disputes the SEC s factual allegations.. ALTERNATIVE DISPUTE RESOLUTION On June,, this Court referred this case to Chief Magistrate Judge Joseph C. Spero for settlement purposes. ECF. As described in the parties last Case Management Conference held on January, (and described in the Parties Joint Statement, ECF ), Judge Spero presided The Receiver appointed over each of the entity defendants and relief defendants has informed the SEC that she will not actively litigate the SEC s case against the entities, and the SEC has agreed not to ask the Court to enter default (or default judgment) against the receivership entities while she complies with her mandate to marshal and preserve assets. Accordingly, the Receiver is not a party to this Joint Supplemental Case Management Statement. SUPP. CASE MANAGEMENT STATEMENT CASE NO. :-CV-0-RS

3 Case :-cv-00-rs Document 0 Filed 0// Page of over three, in-person settlement conferences, and recorded the terms of an agreement in principle reached on December,, which was subject to approval by the Commission and the Court. See Civil Minutes (ECF Nos.,, and ). Counsel for the SEC, and Mr. Henderson, and the Receiver, and their respective attorneys, all attended the conferences. Thereafter, the parties were ordered to report back to Judge Spero as to whether the deadlines agreed to for reducing the agreements to writing and submitting them for approval had been completed; the parties reported back to Judge Spero for further conference on February, March, March, March, and April,. See ECF Nos. 0, 0,,.. DISCOVERY To date, the parties have served their Initial Disclosures and the SEC has sought and obtained third-party document discovery. The parties had agreed to delay deposition discovery while settlement negotiations were active. During the last Case Management Conference, and in the Court s subsequent order, the Court vacated all pre-trial deadlines, in light of the expected settlement. See Clerk s Notice, ECF No.. The SEC believes that, absent an offer of settlement obtained by the date of the Case Management Conference, the Court should return this case to the active litigation calendar, and set deadlines for discovery and trial as described below. Although the SEC hopes that settlement terms will be achieved, if they are not by the time of the Case Management Conference, then this case should not be further sidelined while waiting for that to potentially happen. While Defendant continues to believe that the parties will be able to reach a settlement, Defendant does not oppose the Court returning this case to the active litigation calendar. As the parties have attempted to negotiate the details on the settlement agreement reached in principle in December, significant obstacles to settlement have arisen. Defendant has been working diligently to evaluate these obstacles and remains hopeful that this matter will resolve soon. The parties therefore propose the following schedule for completing discovery: SUPP. CASE MANAGEMENT STATEMENT CASE NO. :-CV-0-RS

4 Case :-cv-00-rs Document 0 Filed 0// Page of Close of fact discovery September, Designation of experts in accordance with Federal Rule of November 0, Civil Procedure (a)() All expert discovery pursuant to Federal Rule of Civil Procedure (b)() January, The parties have previously proposed, in their Initial Case Management Statement (ECF ), the following limitations on discovery: the SEC and Defendant are each entitled to notice and take depositions without further leave of the Court; the limitations under the Federal Rules of Civil Procedure shall otherwise apply (unless the Court later orders otherwise upon specific request of a party).. PENDING MOTIONS The only motions currently pending are: () the stipulated Administrative Motion by the Receiver to engage additional counsel (ECF No. ); and () the Receiver s Motion (ECF No. ), and non-party Intervenors Cross-Motion (ECF No. 0), regarding the proposed creation of an ethical wall to address a conflict that arose for the Receiver s original counsel regarding the Intervenors who claim an interest in Defendant North America PL, LLC and Relief Defendant Berkeley Healthcare Dynamics, LLC.. AMENDMENT OF PLEADINGS The SEC proposes that the deadline for the amendment of pleadings be 0 days prior to the close of discovery. If the Court adopts the above deadline, the last day to amend pleadings would be August 0,. Defendant has no objection to this proposal.. SCHEDULING The SEC proposes the following schedule, presuming the Court enters the above Discovery Schedule proposed by the SEC: Dispositive Motions: Last day to file would be October, (0 days after close of Fact Discovery) Pretrial Conference: Thursday, March, Trial Commencement: Monday, March, SUPP. CASE MANAGEMENT STATEMENT CASE NO. :-CV-0-RS

5 Case :-cv-00-rs Document 0 Filed 0// Page of. TRIAL A jury trial has been requested; and the parties have estimated that a trial would take approximately court days. (ECF Nos.,.) Dated: April, Respectfully submitted, /s/ Susan F. LaMarca Susan F. LaMarca Andrew J. Hefty Thomas Eme Attorneys for Plaintiff SECURITIES AND EXCHANGE COMMISSION /s/ Joseph Farris Gilbert R. Serota Joseph Farris ARNOLD & PORTER KAY SCHOLER, LLP Attorneys for Defendant Thomas M. Henderson SUPP. CASE MANAGEMENT STATEMENT CASE NO. :-CV-0-RS