People v. Compact Associates, Inc.

This action is brought by the Attorney-General for an injunction pursuant to subdivision 12 of section 63 of the Executive Law. The section provides that ‘ ‘ Whenever any person shall engage in repeated fraudulent or illegal acts or otherwise demonstrate persistent fraud or illegality in the carrying on, conducting or transaction of business ” the Attorney-General is authorized to bring the proceeding. After an extended trial, the court sustained the charges of the Attorney-General.

Objection is based on two grounds: first, that persistent fraud was not established; second, that even if it…