On March 5, 2018, the Securities and Exchange Commission (the “SEC” or “Commission”) filed a Complaint against Jeffrey O. Friedland (“Friedland”), Global Corporate Strategies, LLC (“Global’), and Intivia Pharma LLC (“Intivia”), (collectively the “Defendants”), and Lane 6552 LLC (“Lane”), Kathy B. Friedland, Assurance Management, LLC (“Assurance”) and The Jeffrey and Kathy Friedland Irrevocable Trust (“Friedland Trust”), (collectively the “Relief Defendants”) alleging violations of the federal securities laws.  (ECF No. 1).  Specifically, the Complaint alleged that, Friedland engaged in a nearly $7 million securities fraud scheme to conceal the nature of his interest in an Israeli medical marijuana company, OWC Pharmaceutical Research Corp. (“OWCP”), to allow him to sell his considerable holdings in OWCP stock into a market that he helped artificially inflate.  As part of his scheme, Friedland touted OWCP to investors while misrepresenting both the nature of his investments in OWCP and his professional relationship with the company.  Between August 2014 and February 2016, Friedland acquired 6.4 million shares of OWCP stock.  Between February 2016 and September 2017, Friedland touted OWCP to the media, industry and investors, creating the false impression that he was merely an investor in OWCP, when he was in fact paid with millions of OWCP stock to promote the company, which he did via emails, interviews and public appearances.  While he was touting OWCP, Friedland, with the help of his wife, Kathy, directly or indirectly, sold millions of his OWCP stock through entities he owned and controlled with his wife. In total, Friedland received nearly $7 million from his illegal sales of the OWCP stock he acquired as an early investor and as compensation for agreeing to handle OWCP’s media and investor relations for two years.  Friedland and his wife used the proceeds to purchase homes, cars, pay off credit card debt, invest in a family trust and a foundation, to make transfers to family-owned entities and associates and investments in a brokerage account in the name of Lane.

The Jeffrey Friedland Fair Fund currently holds close to $4.2 million and is currently held in an interest-bearing account at the Bureau of Fiscal Services of the U.S. Treasury Department (the “Fair Fund”).

On May 4, 2020, pursuant to the Court’s Order, Miller Kaplan Arase LLP (“Miller Kaplan”) was appointed as Tax Administrator to handle the income tax reporting requirements of the Fair Fund (ECF No. 99).  On April 6, 2021, pursuant to this Court’s Order, JND Legal Administration (“JND”) was appointed as the Distribution Agent to assist in overseeing the administration of the Fair Fund, in consultation with Commission staff, pursuant to the terms of the Distribution Plan (ECF No. 100).

On December 7, 2021, the Court approved a plan for the distribution of the Jeffrey Friedland Fair Fund (the “Plan”).  The Plan governs the administration and distribution of the Fair Fund and sets forth the method and procedures for distributing the assets of the Jeffrey Friedland Fair Fund to investors harmed by the conduct alleged in the Complaint.  You can review and download the Plan on the Important Documents tab on this website.

The Eligible Security is set forth below.

Yes, in order to be considered for eligibility for a payment from the Jeffrey Friedland Fair Fund, you must submit a Proof of Claim Form (“Claim Form”), along with adequate supporting documentation and a completed tax certification. Your Claim Form, supporting documentation, and completed tax certification, must be sent to the Distribution Agent by First Class Mail or other delivery, as further described below: “How do I Submit a Claim”.  You can download the Claim Form from the Important Documents tab on this website.

You may submit your completed Claim Form, including tax certification and adequate supporting documentation by First Class Mail, postmarked no later than June 6, 2022 or, if not by First Class Mail, received by the Distribution Agent no later than June 6, 2022. Mailed and/or otherwise physically delivered Claim Forms should be directed to the following address:

Jeffrey Friedland Fair Fund
c/o JND Legal Administration
PO Box 91436
Seattle, WA 98111

Please do not submit original documents and please retain a copy of what you submit.  If you fail to timely submit a completed and signed Claim Form by the deadline, you may be deemed ineligible to receive a distribution payment from the Jeffrey Friedland Fair Fund.  The Claim Form must be accompanied by a completed tax certification and appropriate supporting documentation for each transaction listed on the Claim Form.

If you submit a Claim Form that fails to provide all required information, or is otherwise deficient, you may receive a Claim Deficiency Notice advising you of the reason(s) why the claim is deficient and an opportunity to cure such deficiencies.

If you invested in OWCP during the Relevant Period (identified above: “What is the Security and Relevant Period”; are not an “Excluded Party” as defined in the Distribution Plan and below: “Who is an ‘Excluded Party’ as Defined in the Distribution Plan”; and suffered a loss according to the Plan, you may be eligible for a distribution from the Jeffrey Friedland Fair Fund.  

To be considered for a Distribution Payment, you must timely submit a completed and signed Claim Form along with all relevant supporting documentation and a completed tax certification.  If you believe you may be eligible for a distribution and are not an Excluded Party, you should timely submit a Claim Form.

Defendants and Relief Defendants, their current or former employees, affiliates, or controlled entities who served in such capacity during the Relevant Period, and their assigns, creditors, heirs, distributees, spouses, parents, and children;

Any defendant in any action brought by the Commission or any class action lawsuit related to the conduct described in the Commission’s complaint in this action or any related Commission action (or any of his or her affiliates, assigns, creditors, heirs, distributees, spouses, parents, children, or controlled entities) unless and until such defendant is found not liable in all such civil suits prior to the Filing Deadline, and proof of the finding(s) is included in such defendant’s timely filed Proof of Claim Form;

Any Person who, as of the Filing Deadline, has been the subject of criminal charges related to the violations alleged in the Commission’s complaint in this action or any related Commission action (or any of his or her affiliates, assigns, creditors, heirs, distributees, spouses, parents, children, or controlled entities) unless and until such defendant is found not guilty in all such criminal actions prior to the Filing Deadline, and proof of the finding(s) is included in such defendant’s timely filed Proof of Claim form;

Any Person who assigned their right to obtain a recovery in the Commission’s action against Defendants; 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; or

The Distribution Agent, its employees, and those persons assisting the Distribution Agent in its role as the Distribution Agent.

Each Potential Claimant’s Recognized Loss will be calculated in accordance with the Plan of Allocation in the Distribution Plan, Attachment A, and will be the basis for the Distribution Payments made to Eligible Claimants.  You can download and review the Plan on the Important Documents tab on this website.

Additional information can be found by visiting the “Important Documents” tab visible at the top of this webpage and by contacting the Distribution Agent, toll-free, at 1-877-379-5985; emailing info@jeffreyfriedlandfairfund.com; or by mailing a letter to:

Jeffrey Friedland Fair Fund
c/o JND Legal Administration
PO Box 91436
Seattle, WA 98111

To view the official SEC website for the Jeffrey Friedland Fair Find, please visit www.sec.gov/divisions/enforce/claims/friedland.htm.