Harrisburg, PA, March 2, 1999 -- Commonwealth Court Senior Judge Eunice Ross issued a Final Order and Decree in the case of The Commonwealth v. Greater Ministries International, Inc., et al, on March 1, 1999. Judge Ross imposed more than $6.4 million in civil penalties and costs under the Pennsylvania Securities Act and the Consumer Protection Law against the Florida-based corporation, its founders, Gerald Payne and Donald Hall, Payne's wife Betty, and Hall's wife Brenda for violating a court order enjoining Greater Ministries from offering and selling its securities in Pennsylvania. Judge Ross also imposed a continuing contempt fine of $2000 a day against the defendants until they comply with her previous order to stop selling securities in the Commonwealth, to provide a list of all Pennsylvania investors and an audited accounting of funds Greater Ministries received from them, the dates of the investments, a refund of the funds invested by Pennsylvanians after the injunction, and the mailing lists used in three mass mailings after November 2, 1998.
On November 2, 1998, the Commonwealth, through the Securities Commission and the Bureau of Consumer Protection, obtained a preliminary injunction to stop ongoing fraudulent solicitation and sales of unregistered securities, i.e., interests in Greater Ministries' Faith Promises Program or gifting program. The programs promise to double a person's investment to Greater Ministries in 17 months. Payne has claimed that Greater invests in and owns gold, silver, diamond and platinum mines and engages in international money market trading.
On January 20, 1999, Judge Ross found Greater Ministries and Payne, et al, in contempt of the November 2, 1998 Order, and at that time ordered Payne to appear in court on March 1. However, Payne did not appear and instead provided an affidavit in which he stated he cannot obey the Court, that he can only obey God. Payne also said his religious beliefs and the First Amendment protected him from having to refund any money or pay any penalties or fines.
Commission Counsel Luci Jankowski McClure, said in Court that "The Defendants' religious beliefs or status as a church does not immunize them from having to obey valid and neutral laws such as the Securities Act or the Consumer Protection Law. The First Amendment does not give any person or any religious group the right to defraud."