And that, ladies and gentlemen, is called deflection.

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Coat Tail Rider
327
And that, ladies and gentlemen, is called deflection.

It's what you do when your guy has been found guilty of 19 cases of fraud by a jury.

Quote:
Jury Finds Broker-Dealer, Transfer Agent and Two Key Principals Liable in Microcap Shell Factory Fraud

Litigation Release No. 25156 / August 4, 2021

Securities and Exchange Commission v. Spartan Securities Group, Ltd., et al., No. 19-civ-00448 (M.D. Fla. filed February 20, 2019)

On Friday, July 30th, after a three week trial in Federal Court in Tampa, Florida, a jury returned a unanimous verdict finding broker-dealer Spartan Securities Group, LTD., transfer agent, Island Capital Management LLC d/b/a Island Stock Transfer, and two of their principals, Carl E. Dilley and Micah J. Eldred, liable for fraud in connection with their roles in the creation of at least 19 purportedly legitimate public companies that were in fact shams.

Evidence at trial showed that Spartan Securities, Dilley, and Eldred made misrepresentations and omissions in the filing of 15c2-11 applications and submissions with Financial Industry Regulatory Authority (FINRA), which are required to publicly list the companies' common stock and ultimately enable the shares to become free-trading and available to public investors. The evidence also showed that Island Stock Transfer and Dilley, its President, made misrepresentations and omissions regarding the designation of the securities as free trading and when effectuating the bulk issuance and transfer of securities, including stock certificates without restrictive legends. Finally, the evidence revealed that Spartan Securities, Island Stock Transfer, and Dilley initiated and provided false information for applications filed with the Depository Trust Company (DTC), including misrepresenting the shell status of issuers.

The jury found Spartan Securities, Island Stock Transfer, Dilley and Eldred liable for fraud by violating Section 10(b) of the Securities Exchange Act of 1934 ("Exchange Act" , and Rule 10b-5(b) thereunder.


https://www.sec.gov/litigation/litreleases/20...ovdelivery

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