Tag Archives: stock promotion

SEC Charges Nine Individuals and Companies for Roles in Microcap Scheme

Posted on by One comment

On March 11, 2019, the Securities and Exchange Commission announced charges against nine individuals and companies in a multi-million dollar stock distribution and market manipulation scheme involving two microcap companies, NanoTech Entertainment, Inc. and NanoTech Gaming, Inc. The SEC’s complaint alleges that David R. Foley, the founder of the NanoTech companies, orchestrated a scheme to manipulate trading in their stock

Read more

MicroCap Market Manipulator Sentenced To 87 Months In Prison

Posted on by Leave a comment

On January 30, 2019, David Aubel of North Carolina was sentenced by U.S. District Court Chief Judge Patti B. Saris to 87 months in prison, five years of supervised release and ordered to pay restitution in the amount of $242,553. In November 2017, Aubel pleaded guilty to one count of conspiracy to commit securities fraud and wire fraud, one count

Read more

FBI Undercover Work & SEC Trading Suspension Leads To Charges In Microcap Fraud Schemes

Posted on by Leave a comment

Last week, the Securities and Exchange Commission charged a stock promoter and four others involved in an alleged series of microcap fraud schemes that were foiled by FBI undercover work and an SEC trading suspension. According to the SEC’s complaint filed in federal court in southern California on July 6, stock promoter Gannon Giguiere took control of a purported medical

Read more

OTC Markets Shares Four Regulatory Initiatives & Targeted Rulemaking for 2018

Posted on by Leave a comment

In a post on the OTC Markets Blog last week, Cass Sanford shared OTC Markets Group’s “2018 Regulatory Initiatives & Targeted Rulemaking.” According to Sanford, “Over the past 20 years, the reputation and recognition of the OTC markets has grown.” That growth has come from technology improvements and from working closely with lawmakers and regulators. In 2018 OTC Markets will focus

Read more

OTC Markets Group Launches New Stock Promotion & Shell Risk Flags

Posted on by 2 comments

On Wednesday, OTC Markets Group announced that a new stock promotion flag will enable investors to easily identify securities that are the subject of current promotional activity. This new flag, which is shaped like a megaphone, will appear on the promoted company’s quote page on otcmarkets.com. Stock promotion flags are part of an initiative OTC Market Group announced in November 2017

Read more

Former Stock Broker Sentenced for Microcap Stock Manipulation Scheme

Posted on by Leave a comment

Last week, a former New Hampshire stockbroker was sentenced for his role in a market manipulation scheme which was actually part of an undercover operation. Robert Raffa, 57, of Penacook, N.H., was sentenced by U.S. District Court Chief Judge Patti B. Saris to two years in prison and two years of supervised release. In September 2017, he pleaded guilty to one

Read more

SEC Enforcement Division’s Report on Priorities and FY 2017 Results Make Limited MicroCap Mentions

Posted on by Leave a comment

Earlier this month, the SEC Enforcement Division issued a report highlighting its priorities for the coming year as well as a review of enforcement actions that took place during FY 2017. In the report, Co-Directors Stephanie Avakian and Steven Peikin stated their overall enforcement approach: “Vigorous enforcement of the federal securities laws is critical to combat wrongdoing, compensate harmed investors,

Read more

What Should You Do If Your MicroCap Company’s Stock is Being Promoted?

Posted on by One comment

Last week, OTC Markets Group released their updated policy on stock promotion. “Improving investor transparency and setting market standards with clear expectations for how reputable public companies should respond to misleading and manipulative promotion encourages management teams to more proactively address and dispel unfounded rumors and correct misinformation that can lead to unusual market activity,” said Liz Heese, OTC Markets

Read more

OTC Markets Releases New Policy on Stock Promotion

Posted on by 2 comments

Yesterday, OTC Markets Group released a new stock promotion policy to improve overall market transparency for investors and better address the problem of fraudulent stock promotion.   Clarify Responsibility of Reputable Public Companies The new policy and best practices codify a core principle of OTC Markets Group’s disclosure-based philosophy and the OTCQX and OTCQB Rules. It clarifies the responsibility of reputable public

Read more

New Jersey Stock Promoter Pleads Guilty to Charges in Market Manipulation Scheme

Posted on by Leave a comment

  According to an SEC press release, on June 1, 2017, Antonio Katz, a defendant in ongoing SEC litigation, pled guilty to criminal charges filed by the U.S. Attorney for the District of Massachusetts. Katz was charged with one count of conspiracy and one count of securities fraud in connection with a pump-and-dump scheme that defrauded investors in Greenway Technology, a Las

Read more
« Older Entries