 |
| New Jersey US Attorney Paul J. Fishman, courtesy, NY Post |
According to the US Attorney in New Jersey,"TRENTON, N.J. - Two day traders today admitted participating in a multi-year insider trading scheme that made over $3.9 million in illicit profits by exploiting material information in violation of confidentiality agreements, U.S. Attorney Paul J. Fishman announced.
Ronald Chernin, 67, of Oak Park, California, and Steven Costantin, 55, of Farmingdale, New Jersey, pleaded guilty before U.S. District Judge Michael A. Shipp in Trenton federal court to separate informations charging them each with one count of conspiracy to commit securities fraud and one count of securities fraud.
According to documents filed in this case and statements made in court:
Chernin and Costantin worked as day traders for Costantin’s brother-in-law, Steven Fishoff, 58, of Westlake Village, California. Between May 2010 and August 2013, Chernin, Costantin, and Fishoff, as well as a business associate referred to as “Trader A,” expressed interest in participating in numerous stocks offerings by publicly traded companies.
Chernin, Costantin, and other members of the day trading operation falsely characterized their trading entities as legitimate, full-service financial management firms with as much as $150 million in assets under management, in order to increase the likelihood that the investment bankers would solicit them to participate in the stock offerings.
Before providing confidential information concerning the companies or the terms of the proposed sales, the investment bankers first required that Chernin, Costantin, Fishoff, Trader A, and their associated trading entities, enter into confidentiality or “wall-crossing” agreements whereby they agreed not to disclose or trade on the inside information and were brought “over the wall” for the narrow purpose of determining whether to purchase the offered securities. To see the rest of the story go here..https://www.justice.gov/usao-nj/pr/two-men-admit-roles-three-year-cross-country-insider-trading-scheme-netted-more-39
 |
| Steven Fishoff |
 |
| Steven Fishoff on Facebook |
Fishoff is also indicted but has not taken a plea. He calls himself self employed on his facebook page.
There are no pink shirts in prison, only khaki, green, orange and browns.
With these guys taking a plea, it puts Fishoff in a corner, because either he also flies the white flag of surrender and takes a plea or he goes to trial. If he wins, he walks away a free man. If he loses, he can do serious time since the govt claims the trio made 3.9 million dollars. If he takes a plea, he gets a three point reduction on the sentencing guideline. See story from the NY Post from last year....http://nypost.com/2015/06/03/feds-charge-four-in-insider-trading-scheme/
To read more about prison, go here....http://www.amazon.com/PRISON-expect-Federal-Bureau-Prisons-ebook/dp/B011GTWLOG
No comments:
Post a Comment