Latest Securities fraud News

California man gets 17 1/2 years for cannabis pen fraud

Nov. 21, 2022 19:53 PM EST

LOS ANGELES (AP) — A Southern California man who once competed on the Philippines national decathlon team was sentenced Monday to 17 1/2 years in federal prison for bilking investors out of more than $35 million with a phony scheme to market cannabis vape pens. David Joseph...

Elizabeth Holmes gets more than 11 years for Theranos scam

Nov. 18, 2022 20:58 PM EST

SAN JOSE, Calif. (AP) — Disgraced Theranos CEO Elizabeth Holmes was sentenced Friday to more than 11 years in prison for duping investors in the failed startup that promised to revolutionize blood testing but instead made her a symbol of Silicon Valley ambition that veered into deceit. ...

Elizabeth Holmes faces judgment day for her Theranos crimes

Nov. 17, 2022 19:55 PM EST

SAN JOSE, Calif. (AP) — A federal judge on Friday will decide whether disgraced Theranos CEO Elizabeth Holmes should serve a lengthy prison sentence for duping investors and endangering patients while peddling a bogus blood-testing technology. Holmes’ sentencing in the same San...

Elizabeth Holmes asks for leniency for her Theranos crimes

Nov. 11, 2022 15:58 PM EST

Disgraced Theranos CEO Elizabeth Holmes is casting herself as a Silicon Valley scapegoat who overcame an abusive relationship to become a loving mother in an effort to avoid a lengthy prison sentence for duping investors in her failed blood-testing company. In an 82-page document...

Bank ordered to pay $563 million to victims of Petters fraud

Nov. 09, 2022 18:10 PM EST

MINNEAPOLIS (AP) — A federal jury has awarded a record $564 million in damages to victims of a massive Ponzi scheme by Minnesota businessman Tom Petters. The verdict handed down Tuesday against BMO Harris Bank is believed to be the largest financial penalty handed out by a jury in...

GOP’s Ken Paxton wins 3rd term as Texas attorney general

Nov. 09, 2022 01:08 AM EST

DALLAS (AP) — Texas Attorney General Ken Paxton won reelection Tuesday, adding to Republicans' decades of dominance in the state’s top offices despite a slew of legal problems and dysfunction in his agency. Paxton secured a third term as Texas’ top lawyer, setting up...

Ex-Wilmington Trust president reaches settlement with SEC

Nov. 01, 2022 18:54 PM EDT

DOVER, Del. (AP) — The former president of the only financial institution to be criminally charged in connection with the federal bank bailout program in the wake of the 2008 financial crisis has reached a settlement with federal securities regulators in a related civil action. In...

Head of zero-emission truck venture found guilty of fraud

Oct. 14, 2022 17:17 PM EDT

NEW YORK (AP) — The wealthy founder of Nikola Corp. was convicted Friday of charges he deceived investors with exaggerated claims about his company’s progress in producing zero-emission 18-wheel trucks fueled by electricity or hydrogen. A jury reached the verdict against Trevor...

In court brief, Musk says the SEC is unlawfully muzzling him

Sep. 28, 2022 09:46 AM EDT

DETROIT (AP) — U.S. Securities regulators are unlawfully muzzling Tesla CEO Elon Musk, violating his free speech rights by continually trying to enforce a 2018 securities fraud settlement, Musk's lawyer contends in a court brief. The document, filed late Tuesday with the federal...

Ex-California investment company head charged with fraud

Sep. 21, 2022 20:36 PM EDT

LOS ANGELES (AP) — A man who ran two California-based investment companies and frequently appeared as a TV financial news analyst was charged Wednesday with securities fraud for allegedly bilking clients out of millions of dollars, federal prosecutors said. James Arthur McDonald...