1306506 ONTARIO LIMITED et al. - Motion for Temporary Rastraining Order and Other Relief

IN THE UNITED STATES DISTRICT COURT
FOR THE WESTERN DISTRICT OF NEW YORK

FEDERAL TRADE COMMISSION
Plaintiff
v.
1306506 ONTARIO LIMITED, a Canadian Corporation;
T.S.I. SERVICE CORP., a Nevada Corporation;
VINNY BUBIC, individually and as a director and officer of 1306506 Ontario Limited and T.S.I. Service Corp.; and
ERROL ALEXANDER, individually and as a director and officer of 1306506 Ontario Limited and T.S.I. Service Corp.;
Defendants.

Civil Action No.

EX PARTE MOTION FOR TEMPORARY RESTRAINING ORDER AND OTHER RELIEF

Plaintiff, the Federal Trade Commission, by its undersigned attorneys, having filed its complaint in this matter seeking a permanent injunction and other relief, including restitution for consumers injured by defendants' unlawful practices, pursuant to Sections 13(b) and 19 of the Federal Trade Commission Act ("FTC Act"), 15 U.S.C. § 53(b) and 57b, and Rule 65 of the Federal Rules of Civil Procedure, move this Court on an ex parte basis without notice to defendants for:

1. An order temporarily restraining defendants, 1306506 Ontario Limited; T.S.I. Service Corp.; Vinny Bubic, individually and as a director and officer of 1306506 Ontario Limited and T.S.I. Service Corp.; and Errol Alexander, individually and as a director and officer of 1306506 Ontario Limited and T.S.I. Service Corp.; from further violations of Section 5(a) of the FTC Act, 15 U.S.C. § 45(a), and the Federal Trade Commission's Telemarketing Sales Rule, 16 C.F.R. Part 310, as alleged in the complaint;

2. An order temporarily freezing defendants' assets and requiring repatriation of defendants' assets and documents;

3. An order temporarily restraining and enjoining defendants from destroying or concealing documents, and from transferring, concealing, or otherwise disposing of assets;

4. An order granting Plaintiff leave for expedited discovery;

5. An order to show cause why this Court should not issue a preliminary injunction extending such temporary relief pending an adjudication on the merits.

An ex parte hearing is warranted in this matter because of the deceptive nature of defendants' business practices, as detailed in Plaintiff's Memorandum of Points and Authorities submitted herewith. Through these practices, defendants deceive consumers out of substantial amounts of money. Due to defendants' apparent financial liability, defendants will have a strong incentive to dissipate assets and destroy or conceal evidence once notified of this action.

For these reasons, it is likely that immediate and irreparable damage to this Court's ability to achieve effective final relief for consumers in the form of monetary redress will result if notice of this Motion is provided to defendants. Therefore, the Federal Trade Commission requests the Court grant its Motion ex parte and waive notice of this Motion to defendants.

The Federal Trade Commission respectfully refers the Court to its Memorandum of Points and Authorities, the declarations and exhibits filed in support of this Motion, and the Declaration in Support of Ex Parte Motion for Temporary Restraining Order and Ex Parte Motion to File Papers Under Seal executed by David O'Toole.

Dated:
October 23, 2000

Respectfully submitted,

DEBRA A. VALENTINE
General Counsel

DAVID A. O'TOOLE
PATRICIA POSS
Federal Trade Commission
55 E. Monroe St., Suite 1860
Chicago, IL 60603
(312) 960-5634
(312) 960-5600 (fax)

Attorneys for Plaintiff
FEDERAL TRADE COMMISSION