Back in January a proposed $145.4 million dollar settlement between Steve Chen and the SEC was filed.

On March 13th Judge Klausner approved the settlement proposal and ordered Final Judgement against Chen.

As per Judge Klausner’s March 13th order, Steve Chen is “permanently restrained and enjoined” from further violating the Securities and Exchange Act.

On the money side of things Chen along with entity companies he previously owned were also held liable for a $51.2 million dollar disgorgement payment plus a $16.7 million civil fine.

$3.7 million dollars in interest in prejudgment interest was also awarded.

Chen has fourteen days from the order date (March 13th) to pay the judgement amount.

The SEC shall hold the funds, together with any interest and income
earned thereon (collectively, the “Fund”), pending further order of the Court.

It is expected the funds will be added to USFIA victim claim disbursements at a later date.

A separate consent filing was made on March 14th, stipulating consent to Final Judgement by USFIA, Alliance Financial Group, Amauction, Aborell Management, Aborell Advisors, Aborell Reit II, Ahome Real Estate, Alliance NGN, Apollo Reit I, Apollo Reit II, Amkey, US China Consultation Association and Quail Ranch Golf Course.

Collectively the defendant entities will pay $135.5 million in disgorgement plus $9.8 million in prejudgment interest.

Steve Chen’s interactions with the SEC during civil proceedings strongly suggested he was aware of or suspected criminal charges will follow at some point. As at the time of publication however, they’ve yet to materialize.