A. SUMMARY
From November 1998 until the present, Schoemmell and Thorkelsson, acting through an unincorporated entity known as the R.S. of Houston Workshop ("Workshop"), committed solicitation fraud while acting as commodity trading advisors. Schoemmell and Thorkelsson offered a trading course and methodology based on misrepresentations made on the internet and in a brochure that they traded Standard & Poors 500 equity index futures contracts ("S & P 500 futures") successfully for their own accounts using that methodology.

However, neither Schoemmell nor Thorkelsson was a successful commodity trader. Schoemmell consistently suffered net trading losses in each of the six years he traded, and Thorkelsson made only an insignificant profit in one of several years he traded. As such, Schoemmell's and Thorkelsson's solicitations to actual and prospective customers were false, deceptive and misleading through their misstatement of facts material to the customers' decisions to purchase the trading workshop, in violation of Sections 4b(a)(i) and (iii) and 4o of the Act and Regulation 4.41(a).