Irvine broker fined $110,000 by SEC
COURTS: Perle's firm earned more than $4.1 million in scheme. 'Crime does pay,' says one victim.
May 14, 1999
By CHRIS KNAP
The Orange County Register
A federal district judge in Los Angeles has sided with the Securities and Exchange Commission against Irvine broker Cery B. Perle, ruling that the former president of Waldron & Co. planned and executed a fraudulent scheme to boost the share price of Internet retailer Shopping.com by 255 percent.
The judge, Dickran Tevrizian, agreed earlier this month that Waldron earned more than $4.1 million from the illegal scheme. His ruling was released Thursday.
Perle was fined $110,000 and barred from working as a securities dealer.
"That's it? It doesn't seem appropriate. It just shows that crime does pay," said Kate Lewis of Santa Cruz, who with her husband, Jeff, lost a chunk of their savings after Shopping.com shares plunged last year.
Clifford C. Hyatt, branch chief of the SEC's Pacific Regional Office, said the $110,000 fine is the largest the SEC can impose under its civil authority. He said he hopes federal prosecutors take an interest in the case.
"This is one of the most egregious examples of market manipulation we have seen," Hyatt said. "Perle controlled the entire supply of the security, and that allowed him to peg the price." ...
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