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UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF COLORADO

Civil Action No. ____________

UNITED STATES SECURITIES AND

EXCHANGE COMMISSION,

Applicant,

v.

RAYMOND Y. CHIN, KENYATTO MONTEZ JONES,

HENNING D. MORALES, BENJAMIN J. PORT,
ALAN M. ROTHMAN, RONALD C. TOUCHARD,
MISTY D. TOUCHARD, AUGUST, INC., DELTA
CONSULTING, LLC, EWORLD COMPANIES, INC.,
GLOBALQX, KNIGHT CONSULTING CORP.,
MONARCHY CAPITAL, INC., NEBTROPOLIS
CONSULTING, INC., NEWPORT HOLDINGS, INC.,
NEWPORT STOCKS, INC., NUTRIPURE BEVERAGES,
INC., PREZENSE, INC., RMT CONSULTING, INC.,
SUNRISE CONSULTING GROUP, INC., TOUCHARD FAMILY
TRUST, and RBID.COM, INC.

Respondents.

EX PARTE APPLICATION FOR ORDER TO SHOW CAUSE AND FOR AN ORDER

COMPELLING COMPLIANCE WITH ADMINISTRATIVE SUBPOENAS

1. Applicant, the United States Securities and Exchange Commission (the

“Commission”), hereby applies to this Court for an ex parte Order to Show Cause why an Order

should not issue requiring Respondents to comply with the following administrative subpoenas

issued by the Commission staff and properly served on the Respondents:

a. July 21, 2011 subpoenas for documents to Respondents Kenyatto Montez

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Jones, Benjamin Port, Alan Rothman, Ronald C. Touchard, and Misty D.

Touchard;

b. January 23, 2012 subpoenas for documents to Respondents August, Inc.,

Delta Consulting, LLC, GlobalQx, Knight Consulting Corp., Monarchy

Capital, Inc., Nebtropolis Consulting, Inc., Newport Holdings, Inc.,

Newport Stocks, Inc., Nutripure Beverages, Inc., Prezense, Inc., RMT

Consulting, Inc., Touchard Family Trust, and RBID.com, Inc.;

c. August 25, 2011 subpoena for documents to Respondent Sunrise

Consulting Group, Inc.;

d. February 1, 2012 subpoena for testimony and documents to Sunrise’s

CEO, Respondent Raymond Y. Chin;

e. August 8, 2011 subpoena for documents to Respondent eWorld

Companies, Inc.; and

f. February 2, 2012 and March 7, 2012 subpoenas for testimony to eWorld’s

CEO, Respondent Henning D. Morales.

2. Despite proper service and actual knowledge of the Subpoenas, Respondents have

failed to comply. In many cases, Respondents have simply invoked a blanket claim of a Fifth

Amendment privilege, without describing their claims on a particularized basis, as required by

both the Subpoenas and by relevant Tenth Circuit law. In other cases, Respondents have not fully

complied or not complied at all.

3. This Application is based on the concurrently-filed Declaration of Rachael Clarke

(“Clarke Declaration”), the exhibits to the Clarke Declaration, the Memorandum of Law filed in

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support of this Application, and any written or oral evidence that may be offered at any hearing

on the Application.

JURISDICTION AND VENUE

4. Jurisdiction is conferred upon this Court by Section 21(c) of the Securities

Exchange Act of 1934 (the “Exchange Act”) [15 U.S.C. § 78u(c)]. Venue is proper in the

District of Colorado because this is the district where the Commission is carrying on the relevant

investigation. 15 U.S.C. § 78u(c).

RESPONDENTS1

5. The Touchards and the Touchard Entities. Ronald C. Touchard and Misty D.

Touchard are husband and wife residing in Newport Beach, California. The Touchards use

numerous entities – including August, Inc.; Delta Consulting LLC; Knight Consulting Corp.;

Newport Holdings, Inc.; Newport Stocks, Inc.; RMT Consulting, Inc; and the Touchard Family

Trust (collectively, the “Touchard Entities”) – to purchase and trade securities in fraudulent stock

schemes. More specifically:

a. Ronald Touchard is the CEO of August, Inc., a Delaware corporation, and

he and Misty Touchard are joint account holders on at least one of

August’s brokerage accounts;

b. Ronald Touchard is the beneficial owner of the Delta Consulting LLC and

Knight Consulting Corp. accounts at an offshore brokerage firm, Gibraltar

Global Securities, in the Bahamas;

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The below detail is based on the Commission’s best information and belief as a result of a
thorough investigation. Additional detail about the Respondents is contained in the attached
declaration of Ms. Clarke.

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c. Ronald Touchard is the contact person for the Newport Holdings, Inc.,

a/k/a Newport Stocks, Inc., brokerage account at Scottsdale Capital

Advisors, and has signed forms authorizing wire transfers out of the

Newport account at Gibraltar;

d. Ronald Touchard is the Secretary, and Misty Touchard is the President

and Treasurer, of RMT Consulting, Inc.; and

e. Ronald Touchard is the beneficial owner of shares held by the Touchard

Family Trust.

6. Jones and the Jones Entities. Kenyatto Montez Jones resides in Santa Ana,

California. Jones is an officer and director of Prezense, Inc., a Nevada corporation. Jones is also

the CEO of Nutripure Beverages, Inc., a Nevada corporation. Jones also appears to control

GlobalQx.

7. Port and the Port Entities. Benjamin Port is a stock promoter residing in San

Marcos, California. He is the sole officer of Monarchy Capital, Inc. and Nebtropolis Consulting,

Inc., which are both Nevada corporations.

8. Rothman. Alan Rothman resides in Newport Beach, California. Rothman has been

the CEO of RBID.com, Inc. since at least 2009, and was the CEO of Sunrise Consulting, Inc.

from May 2009 until October 2010.

9. Chin. Raymond Y. Chin appears to reside in Penn Valley, Pennsylvania, but may

presently be traveling to or residing in China. Chin was employed by Sunrise from 2007 until

September 2011, including as Chairman and CEO.

10. Morales. Henning D. Morales resides in Los Angeles, California, and has been

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the CEO of eWorld Companies, Inc. since at least 2007.

11. eWorld. eWorld Companies, Inc. appears to be a Nevada corporation

headquartered in Beverly Hills, California. eWorld’s stock is traded over the counter and listed

on what is commonly called the “Pink Sheets.” Morales has served as the company’s CEO since

at least 2007. Certain of the indvidiual Respondents and/or entities they control, received and

sold billions of shares of eWorld common stock, often while eWorld was issuing misleading

press releases and other disclosure documents to the investing public.

12. Sunrise. Sunrise Consulting, Inc. is a Nevada corporation headquartered in

Newport Beach, California. Sunrise’s common stock is traded over the counter and listed on the

Pink Sheets. Rothman appears to have been Sunrise’s CEO until October 2010, and Chin

appears to have been employed by Sunrise from 2007 until September 2011, including as

Chairman and CEO. Certain of the individual Respondents purportedly served as “consultants”

to the company. They, and/or entities they control, received and sold billions of shares of Sunrise

common stock, often while Sunrise was issuing misleading press releases and other disclosure

documents to the investing public.

13. Nutripure. Nutripure Beverages, Inc. is a Nevada corporation headquartered in

Newport Beach, California. Nutripure’s common stock is traded over the counter and listed on

the Pink Sheets. Jones is Nutripure’s CEO, and the company has other employees and

consultants, including an individual who apparently served as CEO of Nutripure before Jones

and as CEO and President of a Nutripure subsidiary, a “Senior Research Scientist,” and the

“management” of a distributorship Nutripure claims to have purchased. Certain of the individual

Respondents and/or their entities received billions of “free trading” Nutripure shares, often while

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Nutripure was issuing apparently misleading press releases and other disclosure documents to the

investing public.

14. RBID. RBID.com, Inc. is a Florida corporation headquartered in Newport Beach,

California. RBID’s common stock is traded over the counter and listed on the Pink Sheets.

Rothman has been RBID’s CEO since at least 2009.

THE COMMISSION’S INVESTIGATION AND THE

ADMINISTRATIVE SUBPOENAS

15. Pursuant to Section 20(a) of the Securities Act, [15 U.S.C. § 77t(a)], and Section

21(a) of the Exchange Act, [15 U.S.C. § 78u(a)], Congress conferred on the Commission the

authority to conduct investigations. See, e.g., 15 U.S.C. § 78u(a)(1) (“The Commission may, in

its discretion, make such investigations as it deems necessary to determine whether any person

has violated, is violating, or is about to violate any provision of” the securities laws, rules and

regulations.)

16. On May 4, 2011, the Commission issued an Order Directing Private Investigation

and Designating Officers to Take Testimony entitled In the Matter of August, Inc. (Commission

File No. D-3203) (the “Formal Order”) pursuant to Section 20(a) of the Securities Act, [15

U.S.C. § 77t(a)], and Section 21(a) of the Exchange Act, [15 U.S.C. § 78u(a)].

17. The Formal Order authorized the Commission’s staff to investigate whether

Respondent Touchard and others had violated or were violating various provisions of the

securities laws, including the antifraud and registration provisions of the Securities Act, [15

U.S.C. § 77q(a), 15 U.S.C. § 77e], and the antifraud provisions of the Exchange Act, [15 U.S.C.

§ 78j(b), 17 C.F.R. § 240.10b-5].

18. Pursuant to Section 19(c) of the Securities Act, [15 U.S.C. § 77s(c)], and Section

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21(b) of the Exchange Act [15 U.S.C. § 78u(b)], the Formal Order designated certain members

of the Commission staff as officers of the Commission. As officers, the Commission staff are

empowered to administer oaths and affirmations, subpoena witnesses, compel their attendance,

take evidence, and require the production of any books, papers, correspondence, memoranda, or

other records which are relevant or material to the inquiry and to perform all other duties in

connection therewith as prescribed by law.

19. In connection with the Commission’s investigation, the Commission staff are

seeking information regarding, among other things, possible violations of the antifraud

provisions of the federal securities laws by the Respondents and others in connection with

Respondents’ apparent scheme to artificially inflate, and then sell, the stock of various small

companies (a “pump and dump” scheme). Commission staff are also investigating whether

certain Respondents made false or misleading statements in issued press releases.

Subpoenas to the Touchards, Jones, Port, Rothman, and Their Corporate Entities

20. As more fully described in the Clarke Declaration and the attached Memorandum

of Law, pursuant to the Formal Order, the staff issued subpoenas on July 21, 2011 to

Respondents Ronald C. Touchard, Misty D. Touchard, Alan Rothman, Benjamin Port, and

Kenyatto Montez Jones, requiring each recipient to produce documents. The subpoenas were

properly served. All of the subpoena recepients, save Mr. Port, immediately retained the same

counsel, asserted a blanket Fifth Amendment privilege against self incrimination, and refused to

produce any documents. After retaining separate counsel and making a partial production, Mr.

Port eventually retained the same counsel as the other recipients and asserted his Fifth

Amendment rights to refuse to produce any additional documents. None of the recipients

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produced a log or any other description of their privilege claims on a document-by-document

basis, as required by the subpoenas.

21. On January 23, 2012, the staff issued subpoenas for documents to Respondents

August, Inc., Delta Consulting, LLC, GlobalQx, Knight Consulting Corp., Monarchy Capital,

Inc., Nebtropolis Consulting, Inc., Newport Holdings, Inc., Newport Stocks, Inc., Nutripure

Beverages, Inc.,2 Prezense, Inc., RMT Consulting, Inc., Touchard Family Trust, and RBID.com,

Inc. These companies are all related to the individual Respondents who received – and failed to

respond to – the July 21, 2011 subpoenas. The January 23 subpoenas were served on the

individual Respondents known to control each corporate entity, the address listed as the

company’s principal place of business (if one existed and could be found), and/or the company’s

domestic registered agent (if one existed and could be found). All of the subpoenas were

delivered, and none were returned. The subpoenas were also delivered to counsel representing

the individual Respondents who controlled these corporate entities. On February 2, 2012,

counsel wrote the staff, continuing to assert that his clients would not produce documents in

reliance on the Fifth Amendment’s protections. Further, none of the recipients produced a log or

any other description of their privilege claims on a document-by-document basis, as required by

the subpoenas.

Subpoenas to Sunrise and Chin

22. The staff also issued a issued a subpoena on August 8, 2011, and then again on

August 25, 2011, to Respondent Sunrise Consulting Group, Inc., requiring it to produce

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The staff had previously tried to serve Nutripure with a subpoena for documents on August 8,
2011, at the address listed as the company’s principal place of business, but that subpoena was
returned because the company was not actually located at that address.

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documents. Although sent to Sunrise’s purported principal place of business, the August 8

subpoena was returned because the company was not actually located at that address. The

August 25 subpoena was served on Sunrise’s registered agent in Nevada. That subpoena required

the production of documents on or before September 12, 2011. To date, the staff has received no

response.

23. On February 1, 2012, the staff issued a subpoena for testimony and documents to

Sunrise’s CEO, Respondent Raymond Y. Chin. The subpoena was properly served. It required

Mr. Chin to produce documents on or before February 13, 2012, and to appear for testimony on

March 5, 2012. Although the staff has had some communication with Mr. Chin, and a lawyer

who was not representing Mr. Chin, but rather acting as an “intermediary,” Mr. Chin has to date

not produced documents or appeared for testimony.

Subpoenas to eWorld and Morales

24. On August 8, 2011, the staff issued a subpoena for documents to Respondent

eWorld Companies, Inc. The staff received a partial production of documents on October 4,

2011.

25. On February 2, 2012, the staff issued a subpoena for testimony of eWorld’s CEO,

Respondent Henning Morales. Morales appeared for testimony and acknowledged that eWorld’s

production in response to the August 8 subpoena was incomplete. What’s more, before Morales’

testimony was completed, his counsel requested that testimony be adjourned because counsel

was not sufficiently comfortable with securities enforcement actions. The testimony was

adjourned under the specific condition that Morales would retain new counsel and reschedule.

While the staff has had some communications with an eWorld employee, and received some

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additional documents, they have not received the required assurance that eWorld’s subpoena

response is complete or that Morales will travel to Denver to testify on a date that is satisfactory

to the staff.

THE COURT SHOULD ENFORCE THE SUBPOENAS

26. As set forth more fully in the attached Memorandum of Law, the Court should

enforce each of these subpoenas. The Commission’s investigation is being conducted for a

proper purpose, the subpoenas were issued in accordance with required administrative

procedures, and the information sought is relevant to the pending investigation and is necessary

to determine whether violations of the federal securities laws have occurred or may be occurring.

See, e.g., U.S. v. Powell, 379 U.S. 48, 57-58 (1964) (enforcing administrative subpoena).

27. While certain Respondents may have valid Fifth Amendment claims to certain

documents, both the subpoenas and relevant Tenth Circuit law require more than a simple,

blanket assertion. Respondents must assert their privilege claims on a document-by-document

basis in order for the Commission, and this Court, to assess the validity of the claims. Further,

certain categories of documents – such as records the Respondents hold in their capacity as

corporate custodians, and records about which the Commission knew prior to the issuance of the

subpoenas – are not protected by the Fifth Amendment and must be produced. Finally,

Respondents Chin, Sunrise, Morales, and eWorld have asserted no even arguably valid defense

to the subpoenas; they have simply refused to comply or comply fully.

28. Respondents’ continuing refusal to comply with the subpoenas is hindering the

Commission staff’s efforts to determine what, if any, violations of the securities laws have

occurred or continue to occur. Accordingly, the Commission requests an order requiring the

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Respondents to promptly comply with their obligations to produce documents and to provide

sworn testimony.

WHEREFORE, based on the foregoing, the Applicant respectfully requests that the

Court:

1. Forthwith issue an ex parte Order to Show Cause directing Respondents to show

cause, if there be any, why this Court should not order them to comply with the subpoenas,

produce non-privileged documents and, where appropriate, appear and provide testimony to a

duly designated officer or officers of the Commission in the investigation entitled In the Matter

of August, Inc. (Commission File No. D-3203);

2. Issue an Order directing Respondents to comply with the subpoenas, produce non-

privileged documents and, where appropriate, appear and provide testimony to a duly designated

officer or officers of the Commission in the investigation entitled In the Matter of August, Inc.

(Commission File No. D-3203) within 20 days of the date of the Order; and

3. Grant the Commission such other and further relief as may be appropriate.

DATED: May 22, 2012

Respectfully submitted,

s/ Nicholas P. Heinke
Nicholas P. Heinke
Rachael Clarke (application for admission pending)
U.S. Securities and Exchange Commission
1801 California Street, Suite 1500
Denver, CO 80202
(303) 844-1000
HeinkeN@sec.gov
ClarkeRa@sec.gov
Attorneys for Plaintiff

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CERTIFICATE OF SERVICE

I hereby certify that on May 22, 2012, the foregoing document was served by first class

U.S. Mail addressed to the following:

Raymond Y. Chin, Pro Se

103 Valley View Way
Newtown, PA 18940

Kenyatto Montez Jones, Pro Se Henning D. Morales, Pro Se

3415 S. Main St., Unit B 9663 Santa Monica Blvd., Suite 559
Santa Ana, CA 92707 Beverly Hills, CA 90210

Benjamin J. Port, Pro Se Alan M. Rothman, Pro Se

1686 Sagewood Way 612 Hilvanar
San Marcos, CA 92078 Newport Beach, CA 92660

Ronald C. Touchard, Pro Se Misty D. Touchard, Pro Se

3 Marble Sands 3 Marble Sands
Newport Beach, CA 92660 Newport Beach, CA 92660

August, Inc. Delta Consulting, LLC

c/o Harvard Business Services, Inc. c/o Ronald C. Touchard
Registered Agent 3 Marble Sands
16192 Coastal Highway Newport Beach, CA 92660
Lewes, DE 19958

eWorld Companies, Inc. GlobalQx

c/o Henning Morales c/o Kenyatto M. Jones
9663 Santa Monica Blvd., Suite 559 3415 S. Main St., Unit B
Beverly Hills, CA 90210 Santa Ana, CA 92707

Knight Consulting Corp. Monarchy Capital, Inc.

c/o Ronald C. Touchard c/o Killucan International, Inc.
3 Marble Sands Registered Agent
Newport Beach, CA 92660 4830 Impressario Court
Las Vegas, NV 89149

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Nebtropolis Consulting, Inc. Newport Holdings, Inc.

c/o Killucan International, Inc. c/o Ronald C. Touchard
Registered Agent 3 Marble Sands
4830 Impressario Court Newport Beach, CA 92660
Las Vegas, NV 89149

Newport Stocks, Inc. Nutripure Beverages, Inc.

c/o Ronald C. Touchard, Registered Agent c/o Kenyatto Jones, CEO
3 Marble Sands 3415 S. Main St., Unit B
Newport Beach, CA 92660 Santa Ana, CA 92707

Prezense, Inc. RBID.com, Inc.

c/o Incorporating Solutions Group, Inc. c/o Alan Rothman, President
Registered Agent 895 Dove St., Third Floor
10120 S. Eastern Ave. #200 Newport Beach, CA 92660
Henderson, NV 89052

RMT Consulting, Inc. Sunrise Consulting, Inc.

c/o Ronald C. Touchard, Registered Agent c/o Incorporating Solutions Group, Inc.
3 Marble Sands Registered Agent
Newport Beach, CA 92660 10120 S. Eastern Ave. #200
Henderson, NV 89052

Touchard Family Trust

c/o Ronald C. Touchard
3 Marble Sands
Newport Beach, CA 92660

s/ Nicholas P. Heinke
Nicholas P. Heinke

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