Frequently Asked Questions

  1. Why did I receive a Notice?

    You or someone in your family may have purchased or acquired America West common stock stock on February 23, 2012 and/or February 24, 2012.

    If you fit this criteria and suffered a loss according to the Distribution Plan, you may be eligible for a payment from the Fair Fund. FAQ 6 explains the steps you must take to file a Proof of Claim Form in order to participate.

    You may review a copy of the Distribution Plan Notice here.

    Back To Top
  2. What is this lawsuit about?

    The Commission filed a complaint against John Babikian for his role in a securities fraud known as “scalping”, or recommending the purchase of a stock and immediately selling the stock without adequately disclosing the intent to sell. Babikian used a platform of affiliated microcap stock promotion websites to fraudulently promote and illegally scalp Utah-based coal mining corporation America West Resources.

    A Fair Fund was established by the Court to distribute $3.7 million in disgorgement, prejudgment interest and civil money penalties paid by John Babikian to compensate investor victims of the fraud.

    Back To Top
  3. What is the Recovery Period?

    The Recovery Period is February 23, 2012 through the close of trading on February 24, 2012.

    Back To Top
  4. Who is eligible to participate in the Distribution Fund?

    You are eligible if you purchased America West common stock on February 23, 2012 and/or February 24, 2012 and suffered a loss according to the Distribution Plan, which can be found here.

    Back To Top
  5. What is the total amount of the Fair Fund?

    Pursuant to the Distribution Plan, $3,730,000.00 was paid to the Commission. The funds were deposited into an interest-bearing account with the United States Treasury’s Bureau of Fiscal Service for investment.

    The Fair Fund will be distributed to Eligible Claimants in accordance with the provisions of the Court-approved Distribution Plan.

    Back To Top
  6. How do I receive a Distribution Payment?

    In order to be eligible to receive a Distribution Payment, you must have purchased America West common stock during the Recovery Period, and you must submit a completed Proof of Claim Form on or before the claims deadline of January 2, 2019. A Proof of Claim Form was included with the Distribution Plan Notice and is available for download here.

    All Proof of Claim Forms must be signed and submitted to the address provided below, postmarked no later than January 2, 2019. Claims postmarked after January 2, 2019 will not be eligible to participate in the distribution of the SEC v. John Babikian Fair Fund.

    SEC v. John Babikian Fair Fund
    Distribution Agent
    P.O. Box 2995
    Portland, OR 97208-2995

    Please note that filing a Proof of Claim Form does not guarantee that you will be eligible to receive a Distribution Payment.

    Back To Top
  7. Who is excluded from participation in the Distribution Fund?
    • Any Affiliates, assigns, creditors, heirs, distributees, spouses, parents, children, or controlled entities;
    • Any Defendant in any action brought by the Commission related to the conduct described in the Complaint or any related Commission action, unless and until such defendant is found not liable in all such civil suits prior to the Claims Bar Date, and proof of the finding(s) is included in such defendant’s timely filed Proof of Claim Form;
    • Any Person who, as of the Claims Bar Date, has been the subject of criminal charges related to the violations alleged in the Complaint or any related Commission action, unless and until such Person is found not guilty prior to the Claims Bar Date, and proof of the finding(s) is included in such Person’s timely filed Proof of Claim Form;
    • Any Purchaser or Assignee of another Person’s right to obtain a Distribution Payment from the Fair Fund, provided, however, that this provision shall not be construed to exclude those Persons who obtained such a right by gift, inheritance, devise or operation of law; and/or
    • The Distribution Agent, its employees, and those persons assisting the Distribution Agent in its role as the Distribution Agent.

    If you are still not sure whether you are included, you can ask for free help. You can contact the Distribution Agent for more information toll-free at 1-844-616-6342, by email at info@SECvJohnBabikianFairFund.com, or by writing to P.O. Box 2995, Portland, OR 97208-2995. You may also fill out and return the Proof of Claim Form to see if you qualify.

    Back To Top
  8. What is Epiq’s Relationship to the Defendants/SEC/Case?

    Epiq is the Distribution Agent hired to fulfill certain responsibilities in this case such as mailings, review of claims, distribution and other administration tasks.

    Back To Top
  9. How will my information be protected?

    As a long-established legal services firm, our electronic systems, software applications, employee and operational protocols are all designed to afford utmost protection and security for the case information provided to us. Further, we are obligated to fulfill the security requirements mandated by the various Court Jurisdictions and Governmental Entities that oversee the various types of cases we administer.

    Back To Top
  10. Who should I contact to get the required supporting documentation to send in with my claim?

    Depending on how you acquired the shares of America West common stock, you will either need to contact your broker or tax advisor to retain the necessary documentation to file a Proof of Claim Form. Essentially, you will need to contact the person/party from whom you purchased the stock. Acceptable supporting documentation must be included with your completed Proof of Claim Form, or your claim may be rejected.

    Back To Top
  11. What is considered acceptable/sufficient documentation to support my transactions on my Proof of Claim Form?

    Acceptable documentation must include the name of the owner or owners of the account for which you are filing a claim, the name of the broker through whom the security was traded, trade date, number of shares purchased, acquired and/or sold, and price paid (excluding brokers’ commissions, taxes and fees).

    Acceptable documentation includes contract notes, brokers’ confirmation slips, account activity pages from brokers’ computer printouts (including the front page), or account activity pages from brokers’ monthly statements (including the front page), if those statements contain the required information. Letters from your broker are acceptable only if they are on the broker's letterhead and contain the required information listed above. Your own records or certificates DO NOT constitute acceptable documentation. We cannot pre-approve any documentation as acceptable without seeing it first.

    Back To Top
  12. How do I get information about my claim?

    You may contact the Distribution Agent by calling 1-844-616-6342, sending an email to info@SECvJohnBabikianFairFund.com, or by writing to P.O. Box 2995, Portland, OR 97208-2995 for more information.

    Back To Top
  13. What is the CUSIP and ticker for America West common stock?

    The CUSIP for America West common stock during the Recovery Period was 02365V106. The ticker symbol was AWSR.

    Back To Top