Welcome, Guest. Please login or register.

Author Topic: "Spam king" indicted in stock fraud  (Read 1547 times)

0 Members and 1 Guest are viewing this topic.

Deez

  • Administrator
  • Hero Member
  • *****
  • Posts: 10689
  • Karma: 1871
    • View Profile
    • Qwoter
"Spam king" indicted in stock fraud
« on: January 15, 2008, 11:00:13 AM »
WASHINGTON (Reuters) - A federal grand jury in Detroit has indicted a Michigan man dubbed the "spam king," and 10 others, in an international illegal bulk e-mailing and stock fraud scheme, the U.S. Justice Department said on Thursday.

The 41-count indictment charges Alan Ralsky, 52, of West Bloomfield, Michigan, his son-in-law, and nine others with operating an spamming operation that focused on running a stock "pump and dump" scheme.

"Today's charges seek to knock out one of the largest illegal spamming and fraud operations in the country, an international scheme to make money by manipulating stock prices through illegal spam e-mail promotions," U.S. Attorney Stephen Murphy said in a statement.

Under the scheme, the group sent spam touting thinly traded Chinese penny stocks, drove up their stock price, and reaped profits by selling the stock at artificially inflated prices, the statement said.

The Detroit Free Press said prosecutors described Ralsky as one of the most prolific spammers in the United States.

According to the indictment, the Ralsky's group used various illegal methods in order to maximize the amount of spam that evaded spam-blocking devices and tricked recipients into opening, and acting on, the advertisements in the spam.

The indictment followed a three-year investigation. Investigators estimate that those charged earned approximately $3 million during the summer of 2005 alone as a result of their illegal spamming activities.

Three people have been arrested, including Ralsky's son-in-law Scott Bradley and How Wai John Hui, a dual national of Canada and Hong Kong. The others, including a Russian national, still are being sought, the Justice Department said.

The Detroit News reported that Ralsky was believed to be in Europe and quoted his attorney, Philip Kushner, as saying Ralsky would voluntarily surrender to federal authorities in the next few days.

"Mr. Ralsky intends to fight these charges, which are brought under a new federal statute that has not been interpreted by the courts," Kushner told the paper.

(Reporting by Joanne Allen, editing by Jackie Frank)
  • Favorite Stocks: GOOG
Qwoter Stock College" style="border:0

Tags:
 

With Quick-Reply you can write a post when viewing a topic without loading a new page. You can still use bulletin board code and smileys as you would in a normal post.

Warning: this topic has not been posted in for at least 350 days.
Unless you're sure you want to reply, please consider starting a new topic.

Name: Email:
Verification:
Type the letters shown in the picture
Listen to the letters / Request another image
Type the letters shown in the picture:
What color is the Qwoter logo?:

What year was Qwoter founded in?
(hint: look at copyright below):

Related Topics

  Subject / Started by Replies Last post
0 Replies
1295 Views
Last post July 30, 2007, 12:01:10 PM
by The Web Team
0 Replies
1224 Views
Last post September 04, 2007, 02:22:28 PM
by The Web Team
0 Replies
2363 Views
Last post September 09, 2007, 08:00:25 PM
by Deez
0 Replies
1308 Views
Last post September 10, 2007, 01:12:26 PM
by The Web Team
0 Replies
2158 Views
Last post September 18, 2007, 11:39:22 AM
by Deez
0 Replies
2742 Views
Last post November 18, 2007, 02:00:59 PM
by Deez
0 Replies
1892 Views
Last post December 13, 2007, 12:01:34 PM
by Deez
0 Replies
1551 Views
Last post May 10, 2008, 10:06:50 AM
by The Web Team
0 Replies
2140 Views
Last post June 29, 2009, 04:31:18 PM
by Deez
2 Replies
5227 Views
Last post June 06, 2012, 11:46:31 AM
by Deez