INDIVIDUAL INVOLVED IN A MULTI-MILLION DOLLAR SECURITES FRAUD “PUMP AND DUMP” FACING MANY YEARS IMPRISONMENT, SENTENCE: PROBATION
United States v. Tedrow, Crim. No. 18-455 (U.S.D.C.). An individual who worked as an independent contractor in marketing and website development for a solar energy company, was involved with various individuals who had extensive plans to “merge” the company with a shell corporation and then create a public offering wherein the price of the shares would be “pumped” up through match trades and other means, prior to the stock “dump.” Those individuals actually succeeded in inflating the price of the shares and reaping windfalls when they “dumped” the shares. Ms. Lefeber successfully proved that her client had minimal involvement and should not be charged with the securities fraud. Therefore, her client was charged with the lesser securities violation of failing to disclose a beneficial ownership, and, therefore, her client received a sentence of PROBATION.