Inverworld, Inc., et al. - Page 210

                                                 - 65 -                                                   
                  part, in the United States in transactions with persons                                 
                  situated within or without the United States:                                           
                        (a) Receiving deposits of funds from the public,                                  
                        (b) Making personal, mortgage, industrial, or other                               
                  loans to the public,                                                                    
                        (c) Purchasing, selling, discounting, or negotiating                              
                  for the public on a regular basis, notes, drafts, checks,                               
                  bills of exchange, acceptances, or other evidences of                                   
                  indebtedness,                                                                           
                        (d) Issuing letters of credit to the public and                                   
                  negotiating drafts drawn thereunder                                                     
                        (e) Providing trust services for the public, or                                   
                        (f) Financing foreign exchange transactions for the                               
                  public.                                                                                 
                  LTD engaged in four of the six activities listed in the                                 
            regulation.  LTD engaged in "Receiving deposits of funds from the                             
            public" by receiving deposits of funds from its clients into its                              
            client clearing account.  LTD engaged in "Making personal * * *                               
            loans to the public" by making loans to its clients.  LTD engaged                             
            in "Purchasing * * * [and] selling * * * for the public on a                                  
            regular basis * * * evidences of indebtedness" by purchasing and                              
            selling for its clients on a regular basis:  (1) Certificates of                              
            deposit and (2) interests in such certificates of deposit.  LTD                               
            engaged in "Issuing letters of credit to the public".  Finally,                               
            LTD engaged in "Financing foreign exchange transactions for the                               
            public" by effecting currency exchange transactions for the                                   
            public with Mexican banks.  LTD engaged in all of the above                                   
            activities,12 in whole or in part, in the United States in                                    

            12                                                                                            
                  Additionally, LTD engaged in creating and operating a U.S.                              
                                                                            (continued...)                





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