Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Microcap & Penny Stocks : DGIV-A-HOLICS...FAMILY CHIT CHAT ONLY!! -- Ignore unavailable to you. Want to Upgrade?

To: lert who wrote (16027)	6/26/1998 8:06:00 AM
From: Ronaldo	Respond to of 50264

Good morning: a news wire on some "nice guys". Some annoyed long term investor could imagine them to be a related species to the types that are permited to come and trash our threads or act as Detectives in the Internet... Thursday June 25, 9:08 pm Eastern Time Three arrested in alleged stock fraud, U.S. says By Jeanne King NEW YORK, June 25 (Reuters) - Two Britons and an American have been arrested in connection with an alleged international stock fraud and money laundering conspiracy operating in New York City and Britain, U.S. prosecutors said on Thursday. Salvatore Mazzeo, 40, a stock promoter from East Williston, New York, pleaded guilty before Manhattan Supreme Court Judge Edward McLaughlin to an attempt to commit enterprise corruption. Mazzeo faces up to 15 years in prison. In the plea unsealed on Tuesday Mazzeo admitted he obtained over $17 million from investors in New York and elsewhere. The two Britons were arrested on Wednesday by British police but have not been formally charged yet, prosecutors said. Manhattan District Attorney Robert Morgenthau said the pair set up two shell companies. ''In this case, the nominal foreign investors were phony off-shore companies, created specifically to evade the registration requirements of the securities laws,'' Morgenthau said. ''The actual investors for whom the foreign companies were a front, were from such 'off-shore' locales as Brooklyn and Long Island,'' he said. Morgenthau said the companies were created and managed in New York and London and used by undisclosed investors in the United States to buy stock illegally. ''The schemers ran up the price of the stock in trading between the companies and then sold, obtaining millions of dollars at the expense of innocent investors,'' he said. As part of the scheme, lawyers in London and Canada recruited a foreign diplomat to pretend to be the owner of the companies, paying him substantial sums of money while obtaining blank signed documents from him to use in the fraud. Morgenthau would not identify the mid-level diplomat but said he was based in Canada while representing a third country. He has since left Canada. ----------------------------------------------------------------------