Soap-on-a-Rope Day: Securities Fraudsters Get to Be Bitches
We haven’t had a Soap-on-a-Rope Securities Fraud Day for much too long, so here goes:
Brocade: It wasn’t a nice day in the neighborhood for Gregory Reyes, former CEO of San Jose-based Brocade communications. A jury busted Reyes’ balls on ten counts of securities fraud relating to option backdating, and he could get as much as a decade in Federal you’re-my-bitch-now prison.
David Tether: This is a footnote, but a hilarious one. As the CEO of Solomon Technologies, Tether violated a lock-up agreement on restricted Solomon stock by trading 200,000 shares of it for a yacht and promotional services. SEC docs indicate 25,000 shares of the payment was to go for stock touting activities, so the yacht seller could get the stock price up to where he could sell it to cover the $375,000 price of a 47-foot catamaran. The cost of getting busted: priceless! No prison, but plenty of laughs.
(And speaking of dirty deals, Don’t forget to see our post on how the SEC bungled an insider trading investigation.)
Image from cellblock bears contest.
Related Stories
POSTED IN: News, soap-on-a-rope
0 opinions for Soap-on-a-Rope Day: Securities Fraudsters Get to Be Bitches
No one has left a comment yet. You know what this means, right? You could be first!
Have an opinion? Leave a comment: