SEC v. Garrett O'Rourke and Michael J. Black, Civil Action No.: 19-CV-4137 (KAM) (E.D.N.Y.)

Welcome to the O'Rourke Distribution Fund Website

Individuals and entities who purchased stock in the public entities identified below during the corresponding Relevant Period, and suffered a loss as a result of the conduct described in the Complaint in the above Civil Action, may be eligible for a distribution from the O’Rourke Distribution Fund (the "Distribution Fund").

During the relevant period, BioHemp International (BKIT) completed a corporate name change in June 2019.  Prior to this change, the company was known as Blake Insomnia Therapeutics (BKIT). Due to the name change, BKIT temporarily traded as BKITD.  BKITD will be considered an eligible security if the trade occurred during the Relevant Period.

In addition to reviewing the information on this website, you should review the Plan Notice and the Distribution Plan approved by the Court, both of which you can find on the Important Documents tab on this website.

You should visit this website often to get the most up-to-date information on the O’Rourke Distribution Fund.

Overview

The Civil Action

The Securities and Exchange Commission (the “SEC”) instituted the Civil Action by Complaint filed on July 17, 2019, alleging that, from approximately May 2016 through July 2019, Garrett O’Rourke (“O’Rourke”) and Michael J. Black (“Black”) (collectively, the “Defendants”) schemed to sell the stock of five publicly traded companies to investors through false and misleading statements and high pressure stock promotional campaigns.  The SEC further alleged that the Defendants disguised their control over some or all of the companies and their stock, thereby circumventing their obligations to register the stock with the SEC pursuant to Section 5 of the Securities Act of 1933 and conduct sales in accordance with the governing registration regulations.  The SEC charged the Defendants, variously, with violations of Sections 5(a), 5(c), and 17(a) of the Securities Act of 1933 and Rule 10b-5 thereunder.

The O'Rourke Distribution Fund

The matter has since been resolved against O’Rourke.  By amended final order entered by consent on December 7, 2020, the Court ordered O’Rourke, among other things, to pay disgorgement and prejudgment interest aggregating to $5,763,719.  The SEC has since collected this monetary relief in full and holds over $5.7 million in an interest-bearing account at the U.S. Treasury’s Bureau of Fiscal Service that it now seeks to distribute (the “O’Rourke Distribution Fund”).  Accrued interest and additional collections in the Civil Action and in related SEC enforcement actions, if timely, may be added to the O’Rourke Distribution Fund.

Distribution Plan

On May 26, 2021, the United States Eastern District Court of New York approved a plan for the distribution of the O’Rourke Distribution Fund (the “Plan”).  The Plan governs the administration and distribution of the O’Rourke Distribution Fund and sets forth the method and procedures for distributing the assets of the O’Rourke Distribution Fund to investors harmed by the conduct alleged in the Complaint.

Claims

The Claims Bar Date for this matter has passed.

How do I obtain more information?

Additional information can be found by visiting the Important Documents tab or the Frequently Asked Questions tab visible at the top of this webpage.  If you have questions not answered through this website, you may contact the Distribution Agent toll-free at 1-833-358-1844, by email at  Info@OrourkeDistributionFund.com, or by mail at:  

O'Rourke Distribution Fund
c/o JND Legal Administration
PO Box 91401
Seattle, WA 98111