NATIXIS: $1,250,000From December 2012 to February 2017, Natixis submitted 1,237 EBS to the Commission, all of which contained inaccurate trade execution times, resulting in incorrect reporting of trade execution time data for approximately 148,763 trades. As a result, Natixis violated the recordkeeping and reporting requirements of Section 17(a)(1) of the Exchange Act and Rules 17a-4(j) and 17a-25 thereunder. . .CITADEL: $3,500,000From November 2012 to August 2016, Citadel submitted 2,774 EBS to the Commission, all of which contained deficient information, resulting in incorrect reporting of trade execution time data for approximately 80 million trades. As a result, Citadel violated the recordkeeping and reporting requirements of Section 17(a)(1) of the Exchange Act and Rules 17a-4(j) and 17a-25 thereunder. . .MUFG ("MUSA"): $1,400,000From May 22, 2015 to March 30, 2018 (the "relevant period"), MUSA submitted 860 EBS to the Commission, containing 687,176 transactions, nearly all of which contained missing or deficient data. As a result, MUSA violated the recordkeeping and reporting requirements of Section 17(a)(1) of the Exchange Act and Rules 17a-4(j) and 17a-25 thereunder. . .
[B]eginning in April 2013, Crighton and a co-conspirator began contacting Victim 1, an elderly man living in Virginia who suffered from Parkinson's disease. Crighton falsely told Victim 1 that he was the second-place winner of the $10 million "grand prize draw" that Publishers Clearing House and the Better Business Bureau sponsored. Crighton fraudulently represented that the second-place prize was $2.5 million. Over the following months, Crighton and his co-conspirator contacted Victim 1 hundreds of times, convincing Victim 1 to send the conspirators 44 payments totaling approximately $112,000. Victim 1 made the payments through Western Union, by adding money to Green Dot cards controlled by Crighton and a co-conspirator, or by sending cash in the mail.During the course of the conspiracy, Crighton e-mailed a "leads list provider" to purchase a list of names and personal identification information that Crighton could use to mass-market the lottery scam to elderly individuals across the country. Crighton and other members of the conspiracy successfully defrauded over 100 elderly victims of at least $396,157.Crighton admitted that, beginning in 2012, he also used the personal identifying information of elderly individuals to fraudulently enroll debit cards in their names without their knowledge or consent. To conceal his involvement in the scheme, Crighton listed a number of different e-mail addresses on the debit card applications, and listed street addresses on the applications that belonged to others involved in the scheme. In this manner, Crighton enrolled or caused to be enrolled hundreds of debit cards that were applied for using the stolen identities of at least 10 elderly individuals.
orchestrated an elaborate scheme to defraud a private investment firm and others out of hundreds of millions of dollars in connection with the funding of a transaction to take private a healthcare services company (Company A) traded publicly on the London Stock Exchange's Alternative Investment Market. To fund the transaction, the private investment firm put up $82 million and a consortium of financial institutions put up another $130 million. The scheme allegedly utilized fraudulent methods to grossly inflate the value of Company A and trick others into believing that Company A was worth substantially more than its actual value.The complaint alleges that to present a positive picture of the company's financial wealth, the conspirators allegedly sought to raise tens of millions of dollars in the public markets, purportedly to fund Company A's acquisitions of various operating subsidiaries. In reality, the complaint alleges, a number of those entities either did not exist or had only a fraction of the operating income attributed to them. The conspirators allegedly funneled the proceeds of these secondary offerings through bank accounts they controlled and used the money for a variety of purposes that had nothing to do with acquiring the purported targets. The money from one of the offerings was instead used to make it appear as if the operating subsidiary had substantial customer revenue when, in fact, the funds were simply transfers of the money that had been raised in the secondary offering, the complaint alleges. The conspirators allegedly went to great lengths to make it appear that these funds were revenue, concocting phony customers and altering bank statements to make it appear as if the funds were coming from customers.
The defendants allegedly conspired to carry out a wide-ranging credit card fraud scheme, using the fraudulently obtained cards to purchase hundreds of thousands of dollars' worth of liquor and luxury watches. The 22-count indictment alleges a bust-out scheme in which the defendants obtained credit cards - sometimes under their real names, but often with synthetic identities created with a combination of real and fictitious information - that were run up to the credit limit. Members of the scheme then allegedly "paid down" by submitting payments from accounts with insufficient funds or through fake accounts to restore the credit line, which allowed them to make additional purchases.All four defendants allegedly used the fraudulently-obtained credit cards to purchase hundreds of thousands of dollars in alcoholic beverages on behalf of the now-closed Liquor Spot in Glendale, where Aloyan was a manager.The indictment also charges Hmayakyan with bank fraud for using fraudulent credit cards in the names of various aliases -- including "Liam Sarcozzy" -- to purchase plots at Forest Lawn Cemetery in Glendale, which he then sold at a profit. Hmayakyan is also accused of conspiring with others to fraudulently apply for loans under an alias to obtain a Kia Optima and in a real person's name for a 2016 Lexus GX460. The indictment alleges that Hmayakyan never intended to pay any credit card bills nor made any payments on the loans.During the execution of a search warrant in 2016, law enforcement seized more than 37,000 bottles of alcoholic beverages, worth approximately $300,000, from the Liquor Spot. They also seized nearly $13,000 in U.S. currency from the store, as well as nearly $13,000 and 37 watches and other jewelry items from Aloyan's residence.
In the Matter of Lai Guanglin (Alan Lai), Respondent (Order Instituting Administrative and Cease-and-Desist Proceedings, Making Findings, and Imposing Remedial Sanctions and Cease-and-Desist Order; '34 Act Rel. No. 84764; Admin. Proc. File No. 3-18918). https://www.sec.gov/litigation/admin/2018/34-84764.pdfIn the Matter of Agria Corporation, Respondent (Order Instituting Administrative and Cease-and-Desist Proceedings, Making Findings, and Imposing Remedial Sanctions and Cease-and-Desist Order; '34 Act Rel. No. 84763; Acct. Aud. Enf. Rel. No. 3996; Admin. Proc. File No. 3-18917). https://www.sec.gov/litigation/admin/2018/34-84763.pdf