What is securities fraud?

Securities Fraud

Securities fraud, also known as stock fraud and investment fraud, is a deceptive practice in the stock or commodities markets that induces investors to make purchase or sale decisions on the basis of false information, frequently resulting in losses, in violation of securities laws. Offers of risky investment opportunities to unsophisticated investors who are unable to evaluate risk adequately and cannot afford loss of capital is a central problem.

Read more about Securities Fraud.

Some articles on securities fraud:

Madoff Investment Scandal - Charges and Sentencing - Criminal Complaint
... much investors deposited into the firm." He was originally charged with a single count of securities fraud and faced up to 20 years in prison, and a fine of $5 million if ... arrested by the Federal Bureau of Investigation (FBI) on December 11, 2008, on a criminal charge of securities fraud ... Madoff Investment Securities LLC ("BMIS")', the order to freeze all activities also forbade trading from the companies Madoff Securities International Ltd ...
Securities Fraud - Related Subjects
... flows Insider trading Madoff investment scandal Bernie Madoff Microcap stock fraud Operation Broken Trust Penny Stocks Private Securities Litigation Reform Act Pyramid ... wholesale mortgage lending firm that ceased business following multi-billion-dollar fraud revelations Trading Places United States Securities and Exchange Commission White-collar ...
Scienter As Element of Securities Fraud Claim
... In the United States, in order to prevail in a securities fraud claim under Section 10(b) of the Securities Exchange Act of 1934, a plaintiff must allege ... The Private Securities Litigation Reform Act of 1995 added the requirement that a plaintiff must plead facts giving rise to a "strong inference" of scienter ... that the plaintiff should meet in order to proceed with a securities fraud litigation a complaint must show "cogent and compelling evidence" of scienter ...
Marc Stuart Dreier - Criminal Fraud Case - Kosta S. Kovachev
... In 2006, he lost his broker's license from the National Association of Securities Dealers after being implicated in a $28 million Ponzi scheme ... On November 2, 2009, he pleaded guilty to commit securities fraud and wire fraud, as well as a wire fraud charge, and admitting to impersonating an ... On April 22, 2009, Kovachev had been arraigned on new charges conspiracy to commit securities fraud, securities fraud and wire fraud, adding a forfeiture allegation seeking to obtain ...
Gen Re - History - AIG Securities Fraud
... pressure, and admitted it had undertaken what could be construed as securities fraud ... CEO, John Houldsworth, agreed to turn state's witness for the Department of Justice and Securities and Exchange Commission, in agreement for a plea bargain ... Houldsworth then pleaded guilty to conspiring to commit securities fraud, resultantly facing a sentence of up to five years in prison and $250,000 in fines ...

Famous quotes containing the word fraud:

    Things gained through unjust fraud are never secure.
    Sophocles (497–406/5 B.C.)