Thomas A. SARTAIN, Petitioner, v. SECURITIES AND EXCHANGE COMMISSION, Respondent

Thomas A. Sartain petitions this court, pursuant to Section 25(a)(1) of the Securities Exchange Act of 1934, 15 U.S.C. § 78y(a)(l), to review an order of the Securities and Exchange Commission.

We affirm.

I. The Facts.

Sartain was involved with three entities: a holding company, Capital Planning Associates, Inc. (Planning Associates), a real estate investment trust, National Real Estate Fund (Real Estate), which was founded by Planning Associates, and a broker-dealer, Capital Planning Securities Co., Inc. (Securities), a wholly owned subsidiary of Planning Associates, formed to underwrite the sale of Real Estate’s securities. Sartain served as President of Planning Associates, as one of its three directors, and, along with two other men, owned 90% of its stock. He was one of Real Estate's three managing trustees, and in that capacity he took charge of Real Estate’s day to day operations. He sold Real Estate’s securities as a registered representative of Securities.

The Commission found Sartain responsible for three abuses in connection with Real Estate’s securities, each of which violates a rule of the National Association of Securities Dealers (NASD). NASD is a registered…