Through an action in a federal court in New Jersey, the Securities and Exchange Commission  sought to recover a previously agreed-upon fine against Hold Brothers On-Line Investment Services LLC from the firm’s two principals. Now known as Tafferer Trading, LLC, and alleged to be “likely” dormant, the firm previously was registered as a broker-dealer. According to the SEC’s complaint, Hold Brothers agreed in August 2012 to pay a fine in excess of US $2.5 million in five installment payments over one year to settle a complaint related to manipulative trading practice by traders who used the firm’s electronic trading system. Hold Brothers made one required payment under this agreement for approximately US $500,000. Subsequently, alleged the SEC, rather than pay the fine as agreed, the company paid US $1.4 million in September 2012—the same month the final SEC order related to the fine was issued—to 23 Hold Brothers equity holders. The firm then made no subsequent payments to the SEC on its fine, as required. The SEC alleged that the principals of the firm—Gregory and Steven Hold—directed this payment to shareholders when they were aware of the firm’s obligations to the SEC, and now should be required personally—as so-called “control persons” of Hold Brothers—to pay the remainder of the firm’s fine.