"charging Jaffe and Cohmad with ""material misrepresentations and omissions."" Robert Jaffe (stockbroker) Robert M. Jaffe (born 1944) is an American stockbroker. He was a long-time associate of Ponzi schemer Bernard Madoff and promoted Madoff's fund to wealthy investors in Massachusetts and Florida. He is vice president of Cohmad Securities Corporation. Jaffe is married to Ellen Shapiro, daughter of Boston philanthropist Carl J. Shapiro, the founder and former chairman of apparel company Kay Windsor Inc. and an early investor and close friend of Madoff. Jaffe reportedly convinced the elder Shapiro to invest $250 million with Madoff just ten days before Madoff's"
"pay a total of $200,000 in civil penalties, investigative costs, and fees, and to comply with the state's laws and regulations, but did not admit wrongdoing. Its embattled CEO Anthony Cuti, along with former CFO William Tennant, were indicted on October 9, 2008 in Manhattan federal court for falsely reporting company income and conspiring to commit securities fraud from December 2000 to June 2005. Cuti had already been replaced in November 2005 by industry veteran Richard Dreiling, COO of San Francisco-area-based Longs Drugs stores. In June 2010, Cuti and Tennant were convicted of securities fraud occurring between November 2000 and"
"Jesse Litvak Jesse Litvak is a former managing director and mortgage-backed securities trader who worked for the brokerage firm Jefferies. Litvak, who was arrested in January 2013, was originally found guilty of lying to clients about mortgage-backed securities in a March 2014 trial, in which he received a two-year prison sentence and 1.75 million dollar fine for 10 counts of securities fraud, one count of defrauding TARP, and four counts of making false statements, including to large institutional investors such as AllianceBernstein and Soros Fund Management. Litvak's January 2013 arrest was part of a larger government crackdown on sales practices"
"and sentenced to two years rigorous imprisonment. Ketan Parekh Ketan Parekh is a former stock broker from Mumbai, India, who was convicted in 2008, for involvement in the Indian stock market manipulation scam that occurred from late 1998 to 2001. During this period, Parekh artificially rigged prices of certain chosen securities (informally referred to as K-10 stocks), using large sums of money borrowed from banks including the Madhavpura Mercantile Co-operative Bank, of which he himself was a director. As a result, he was barred from trading in the Indian stock exchanges till 2017. Parekh started his career in the late"
"Bureau of Investigation (FBI) on December 11, 2008, on a criminal charge of securities fraud. According to the criminal complaint, the previous day he had told his sons that his business was ""a giant Ponzi scheme"". They called a friend for advice, Martin Flumenbaum, a lawyer, who called federal prosecutors and the SEC on their behalf. FBI Agent Theodore Cacioppi made a house call. ""We are here to find out if there is an innocent explanation,"" Cacioppi said quietly. The 70-year-old financier paused, then said: ""There is no innocent explanation."" He had ""paid investors with money that was not there""."
"trading in stocks such as eBay, Goldman Sachs, and Google. Rajaratnam, 59, was convicted in May 2011 on nine securities fraud counts and five conspiracy counts. He has served 7-1/4 years in prison and is eligible for release in July 2021. Raj Rajaratnam Raj Rajaratnam (; born Rajakumaran Rajaratnam; June 15, 1957) is a Sri Lankan-American former hedge fund manager and founder of the Galleon Group, a New York-based hedge fund management firm. On October 16, 2009, he was arrested by the FBI for insider trading, which also caused the Galleon Group to fold. He stood trial in ""U.S. v"
"securities fraud relating to backdating stock option grants. After spending about a year investigating these allegations, the Department of Justice (DoJ), through the US Attorney’s Office, the SEC, and the FBI filed criminal and civil charges against Reyes. In roughly the same time frame, the DoJ, SEC, and FBI also began investigating over 100 other companies for similar activities. Greg Reyes and Stephanie Jensen, the former vice president of HR, were charged with 12 counts of fraud. Two counts were dismissed, and on August 7, 2007, Reyes was convicted on the remaining 10 counts. On January 16, 2008, he was"
"securities fraud and one count of falsifying a Federal report. He was sentenced to 25 years in prison and served 10 years. It took 14 years to settle the firm's bankruptcy estate. The firm's other partners were sanctioned by the Securities and Exchange Commission and were bankrupted by the fraud. Bell & Beckwith Bell & Beckwith was a regional stock brokerage firm in Toledo, Ohio, that failed in 1983 as a result of massive fraud. It was the costliest failure for the Securities Investor Protection Corporation (SIPC) at that time. Bell & Beckwith, a partnership, started in 1898 as Secor"
"with personal debts totalling A$1.8 billion. He was subsequently convicted of fraud and imprisoned after pleading guilty to using his controlling interest in Bell Resources to deceptively siphon off A$1.2 billion into the coffers of Bond Corporation. The funds were used to shore up the cash resources of the ailing Bond Corporation, which spectacularly collapsed, leaving Bell Resources in a precarious situation. Following release, he became active in various mining investments, predominately in Africa, including Madagascar Oil PLC and Global Diamond Resources, of Lesotho and was included in ""Business Review Weekly""'s ""Rich 200 List"" in 2008. On 24 and 25"
"about $200 million by betting on corporate takeovers. He was investigated by the U.S. Securities and Exchange Commission (SEC) for making investments based on tips received from corporate insiders. These stock and options acquisitions were sometimes brazen, with massive purchases occurring only a few days before a corporation announced a takeover. Although insider trading of this kind was illegal, laws prohibiting it were rarely enforced until Boesky was prosecuted. Boesky cooperated with the SEC and informed on several others, including junk bond trader Michael Milken. Per agreement with Giuliani, Boesky received a -year prison sentence along with a $100 million"
"formal charges of securities fraud, two counts, and conspiracy which resulted in $276 million in profits for SAC Capital in 2008. The insider trading trial began on January 9, 2014 in the United States District Court for the Southern District of New York. A jury of seven women and five men were selected to evaluate the evidence in a courtroom presided by U.S. District Judge Paul Gardephe. On February 6, 2014, Martoma was found guilty on all charges. On September 8, 2014, Martoma was sentenced to 9 years in prison. In addition Martoma must forfeit his $9.38 million bonus which"
"In 2008, Bernard Madoff spoke at a business roundtable meeting of his ""very close"" relationship with an SEC lawyer, and chuckled: ""my niece even married one"". In April 2009, Richards recused herself from the Madoff investigation. Swanson is now general counsel at BATS Trading, the third-largest U.S. stock exchange. Shana Madoff's uncle Bernard pleaded guilty to federal charges against him, following the Madoff investment scandal becoming public, in March 2009. He was sentenced to 150 years in prison. Her father, Peter, the chief compliance officer of BLMIS, who was her boss at the company, pleaded guilty in July 2012 to"
"statements and data, leading to inconsistent stock prices. Throughout the stock markets history, there have been dozens of scandals involving listed companies, stock investing methods and brokerage. A classical case related to insider trading of listed companies involved Raj Rajaratnam and its hedge fund management firm, the Galleon Group. On Friday October 16, 2009, he was arrested by the FBI and accused of conspiring with others in insider trading in several publicly traded companies. U.S. Attorney Preet Bharara put the total profits in the scheme at over $60 million, telling a news conference it was the largest hedge fund insider"
"to one count of conspiracy to commit security fraud. Poyiadjis' proceeds from the sale of AremisSoft stock were $150 million. The case reached a global settlement when Poyiadjis agreed to pay $200 million. According to ""Lawyer Magazine"", this is the largest SEC case of its kind. In July 2010, Poyiadjis was sentenced by Judge Laura Taylor Swain to three years of probation. At Poyiadjis's sentencing, Judge Swain stated that she took into consideration ""the extent of Mr. Poyiadjis's cooperation,"" and ""Mr. Poyiadjis's remorse, as reflected both in his words and actions."" Lycourgos Kyprianou remains a fugitive from justice in the"
"and in 2005, was sentenced to 15 years in federal prison. Adelphia Corporation was forced to file for bankruptcy after it acknowledged that it took $3.3 billion in false loans. It was ""one of the most elaborate and extensive corporate frauds in United States history"". In February 2003, Comey was the lead prosecutor of Martha Stewart, who was indicted on the charges of securities fraud, obstruction of justice, and lying to an FBI agent. She sold 3,928 shares of ImClone Systems, making $227,824. The next day, the Food and Drug Administration refused to accept the company's application for Erbitux. In"
"investment vehicle controlled by Kaleil Isaza Tuzman. Stephen Maiden was sentenced in February 2015 to seven years in prison. In July 2016 Omar Amanat was arrested as part of the criminal case. Kaleil Isaza Tuzman served time in prison in Colombia and was eventually extradited to the USA.. In December 2017, both Tuzman and Amanat were found guilty of defrauding Kit investors. Tuzman and Amanat had been accused of conspiring to inflate KIT’s trading volume and share price between 2008 and 2011 in an effort to hide their devastating losses. The verdict came after 6 weeks of trial. Three government"
"building the largest Internet based comedy network in the world. Laikin's National Lampoon partner Tim Durham appointed Laikin to Durham's Obsidian Enterprise board. Laikin was the largest shareholder of National Lampoon, Incorporated. In December 2008, the SEC alleged Laikin conspired to inflate the company's stock price. Laikin stepped down as CEO of National Lampoon in 2008 when armed FBI agents arrested him at his home. In 2010, a federal judge sentenced Laikin to 45 months in prison. He was released in 2013. Laikin was replaced by Tim Durham, who himself was arrested in 2011 for looting more than $200 million"
"DarkMarket DarkMarket was an English-speaking internet cybercrime forum created by Renukanth Subramaniam in London that was shut down in 2008 after FBI agent J. Keith Mularski infiltrated it using the alias Master Splyntr, leading to more than 60 arrests worldwide. Subramaniam, who used the alias JiLsi, admitted conspiracy to defraud and was sentenced to nearly five years in prison in February 2010. The website allowed buyers and sellers of stolen identities and credit card data to meet and conduct criminal enterprise in an entrepreneurial, peer-reviewed environment. It had 2,500 users at its peak. According to supervisory special agent Mularski of"
"securities laws for alleged ""massive ongoing fraud"" involving $8 billion in certificates of deposits. The FBI raided three of Stanford's offices in Houston, Memphis, and Tupelo, Mississippi. On February 27, 2009, the SEC amended its complaint to describe the alleged fraud as a ""massive Ponzi scheme"". On June 21, 2012, she pleaded guilty to obstructing a U.S. Securities and Exchange Commission investigation into Stanford International Bank, the Antiguan offshore bank owned by Robert Allen Stanford. On September 13, 2012, Holt was sentenced to three years in prison, followed by three years of supervised probation. She was released on April 23,"
"from AA to A. Matthew Tannin and Ralph R. Cioffi, both former managers of hedge funds at Bear Stearns Companies, were arrested June 19, 2008. They faced criminal charges and were found not guilty of misleading investors about the risks involved in the subprime market. Tannin and Cioffi have also been named in lawsuits brought by Barclays Bank, which claims they were one of the many investors misled by the executives. They were also named in civil lawsuits brought in 2007 by investors, including Barclays Bank, who claimed they had been misled. Barclays claimed that Bear Stearns knew that certain"
"Bernard Madoff Bernard Lawrence Madoff (; born April 29, 1938) is an American former market maker, investment advisor, financier, fraudster, and convicted felon, who is currently serving a federal prison sentence for offences related to a massive Ponzi scheme. He is the former non-executive chairman of the NASDAQ stock market, the confessed operator of the largest Ponzi scheme in world history, and the largest financial fraud in U.S. history. Prosecutors estimated the fraud to be worth $64.8 billion based on the amounts in the accounts of Madoff's 4,800 clients as of November 30, 2008. Madoff founded a penny stock brokerage"
"of $903,000. In the late 1990s, he was involved in a phony certificate of deposit scam and served 30-months in prison. He was arrested in 2003 and later convicted for impersonating an attorney. He was sentenced to 12 years and served four years. In 2009, he was sent back to jail for two years for violating parole by impersonating an attorney again. Goldstein, Samuelson, Inc. Goldstein, Samuelson, Inc. was a Los Angeles based commodities options brokerage firm. It was placed in receivership in 1973 after it was discovered that the firm was a Ponzi scheme. The company was founded in"
"most gigantic schemes to defraud investors that has ever been unearthed in this country"", beginning with the arrest of Christopher Columbus Wilson and one of his top associates. In August, seven United officials were formally indicted in Federal court — in response, the 64-year-old Wilson, a widower, blithely married his 18-year-old secretary. A trial followed the next year, and that May five United officials, including Wilson, were convicted of mail fraud, receiving sentences ranging from one to three years. (Wilson would die in prison, at the Atlanta, Georgia penitentiary, in August 1912.) Crippled by the prosecution of its upper management,"
"Raj Rajaratnam Raj Rajaratnam (; born Rajakumaran Rajaratnam; June 15, 1957) is a Sri Lankan-American former hedge fund manager and founder of the Galleon Group, a New York-based hedge fund management firm. On October 16, 2009, he was arrested by the FBI for insider trading, which also caused the Galleon Group to fold. He stood trial in ""U.S. v Rajaratnam"" (09 Cr. 01184) in the United States District Court for the Southern District of New York, and on May 11, 2011 was found guilty on all 14 counts of conspiracy and securities fraud. On October 13, 2011, Rajaratnam was sentenced"
"promoters attempted to artificially inflate the company's stock price. Daniel Laikin pleaded guilty on September 23, 2009 to his role in a conspiracy to manipulate the company's stock price from March through June 2008. In September 2010, a Philadelphia court sentenced Laikin to 45 months in prison. After Laikin resigned from his position as CEO, shareholder Tim Durham took over duties as CEO of National Lampoon Incorporated. However the next year Tim Durham was involved in a major Ponzi scheme for which he was sentenced to 50 years in prison. National Lampoon, Inc. National Lampoon, Inc. is a company formed"
"hundreds of millions of dollars in stock, even while publicly touting the stock and using shareholder funds to buy back stock to support the share price. On June 4, 2009, the U.S. Securities and Exchange Commission charged him with insider trading and securities fraud. On October 15, 2010, Mozilo reached a settlement with the Securities and Exchange Commission over securities fraud and insider trading charges. Mozilo agreed to pay $67.5 million in fines, and accepted a lifetime ban from serving as an officer or director of any public company. It is the largest settlement by an individual or executive connected"
"ImClone stock trading case A U.S. Securities and Exchange Commission and U.S. Attorney probe of trading in the shares of ImClone Systems resulted in a widely publicized criminal case, which resulted in prison terms for media celebrity Martha Stewart, ImClone chief executive officer Samuel D. Waksal and Stewart's broker at Merrill Lynch, Peter Bacanovic. ImClone's stock price dropped sharply at the end of 2001 when its drug Erbitux, an experimental monoclonal antibody, failed to get the expected Food and Drug Administration (FDA) approval. It was later revealed by the U.S. Securities and Exchange Commission that prior to the announcement (after"
"Mark Spitznagel Mark Spitznagel (; born March 5, 1971) is an American hedge fund manager, stocks and commodities trader, and author. Spitznagel is known for his pioneering “tail-hedging” (or “safe haven investing”), his hugely profitable billion dollar derivatives bet on the stock market crash of 2008, and for allegedly moving global markets with his trading. Spitznagel “gained credibility in the investment world by predicting two market routs in the past decade, first in 2000 and then in 2008,” as well as predicting the “2000s commodities boom.” Despite his reputation as a “financial guru” and “one of Wall Street’s most bearish”"
"and it resumed staging cricket matches after an eight-year hiatus. In early 2009 Allen Stanford became the subject of several fraud investigations. On 17 February 2009 he was charged by the U.S. Securities and Exchange Commission (SEC) with fraud and multiple violations of U.S. securities laws for alleged ""massive ongoing fraud"" involving $7 billion in certificates of deposit. Ten days later the SEC amended its complaint to describe the alleged fraud as a ""massive Ponzi scheme"". On 6 March 2012 Stanford was convicted on all charges except a single count of wire fraud, and was sentenced to 110 years in"
"Jordan Belfort Jordan Ross Belfort (; born July 9, 1962) is an American author, motivational speaker, and former stockbroker. In 1999, he pleaded guilty to fraud and related crimes in connection with stock-market manipulation and running a boiler room as part of a penny-stock scam. Belfort spent 22 months in prison as part of an agreement under which he gave testimony against numerous partners and subordinates in his fraud scheme. He published the memoir ""The Wolf of Wall Street"" in 2007, which was adapted into a film and released in 2013. Belfort was born in 1962 in the Bronx borough"
"Martin Frankel Martin R. ""Marty"" Frankel (born 1954) is an American financial criminal who conducted a series of investment frauds in the late 20th century, causing hundreds of millions of dollars in losses. He was caught in 1999, and in 2004 was sentenced to 200 months in prison based on over $200 million in proven losses to insurance companies he bought then looted; the sentence was reaffirmed in 2006. Marty Frankel was born to Leon and Tilly Frankel in 1954; he was Leon's fourth child and Tilly's second. He attended the University of Toledo but never graduated. Frankel used astrology"
"Tim Durham Timothy Shawn ""Tim"" Durham Sr. (born 1962) is an American lawyer and financier convicted in 2012 of the largest white collar crime in Indiana history. His investment firm Obsidian Enterprises invested in a number of companies, including wireless device company BrightPoint and comedy brand National Lampoon, Incorporated, where Durham served as CEO. In 2012, Durham was sentenced to 50 years in prison in connection with a Ponzi scheme that defrauded 5,400 investors, many of them elderly, of approximately $216 million, according to the U.S. Securities and Exchange Commission. Durham grew up in Seymour, Indiana. He graduated from Indiana"
"Paul Greenwood (money manager) Paul Greenwood (born 1947) is a former American money manager and town supervisor who was convicted of securities fraud with business partner Stephen Walsh. He was arrested with Walsh on February 24, 2009. The total fraud is estimated at between $550 million and $670 million. On July 28, 2010, he pleaded guilty to securities fraud. On December 3, 2014 he was sentenced to a decade in Federal prison by Manhattan U.S. District Judge Miriam Goldman Cedarbaum, who told him ""many people today lost many thousands of dollars as a result of your fraud."" Greenwood is a"