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SEC target Withrow complains about fraud charges

2016-07-19 11:01 ET - Street Wire

Also Street Wire (U-*SEC) U S Securities and Exchange Commission
Also Street Wire (U-EDVP) Endeavor Power Corp

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by Mike Caswell

Edward Withrow III, a California man criminally charged alongside Vancouver's Marco Babini in the U.S. for an OTC Bulletin Board pump-and-dump, denies that he did anything wrong. He claims that he was only interested in creating a legitimate company that could be listed on an "upper exchange" and command a serious sale price. He says that the government's main evidence, a set of secretly recorded conversations, is not admissible.

Prosecutors claim that Mr. Withrow, 51, took part in a scheme to boost an OTC-BB listing called Endeavor Power Corp. He issued news releases in support of a fraud that included kickbacks, prearranged trades and paid tout sheets, according to the government. He also allegedly failed to disclose his ownership of 32 million shares, representing 22 per cent of those outstanding. The efforts of him and others were only thwarted when the U.S. Securities and Exchange Commission halted Endeavor.

The evidence against Mr. Withrow includes a series of recorded conversations between him and an informant named Coleman Flaherty, who was secretly co-operating with law enforcement. Among other things, Mr. Withrow told the informant that he planned to sell at least $1.5-million worth of stock during the promotion, the SEC said. (All figures are in U.S. dollars.) He also told the informant that he had a deal to acquire 8,000 shareholders to fulfill a listing requirement for the Nasdaq, the government claimed.

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that fat slob babini is probably hiding in the shower at Vancouver Lawn Tennis Club

what a creep

Posted by blackbird at 2016-07-19 16:26


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