US man sued for Extreme share ramp scam

Published: 4 January 2002 y., Friday
The Securities and Exchange Commission (SEC) alleged that 24-year-old Kentucky man Ned Sneiderman posted a false press release which claimed that broadband outfit Extreme Networks was buying IT firm Viasource. The posting helped double Viasource's stock price although both companies moved quickly to deny that the press release was genuine. The SEC claims Mr Sneiderman bought Viasource stock immediately before posting the fake statement but was unable to cash in on the rise since shares in both companies were suspended. A few mostly US companies have been subject to crude but successful attempts to ramp up prices with the release of false press releases on the Net. These include Pairgain and Emulex. In March 2000, The UK's Financial Services Authority (FSA) issued a number of warning to investors warning them to be on their guard about share tips published on bulletin boards.
Šaltinis: theregister.co.uk
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

Apple fans abuzz over new iMac

With Apple Computer's next iMac expected to be unveiled as soon as next week, Mac fan sites are buzzing with speculation over the design more »

Veritas opens China shop

Like many of the major IT players, Veritas has stepped up its presence in China courtesy of a separate corporate entity in the country and a new development center more »

China Cracks Down on Internet Porn

China will improve its long-term mechanism to combat Internet pornography, according to a senior official of the Ministry of Information Industry here Thursday more »

search.lt news

search.lt presents newest links more »

Microsoft lets companies block SP2 upgrade

Although Microsoft recommends that consumers turn on Automatic Update to get the latest version of Windows, the company is offering to let companies temporarily block such upgrades more »

Linux 'no threat' to Windows on the desktop

Benefits not enough to warrant a major shift in platform strategy, finds report more »

HP Makes Services Buy, Embraces DAT

HP is acquiring IT services provider Synstar for $297 million in cash to shore up its overseas presence as it battles IBM's Global Services division more »

Wi-Fi phones make a splash

Cell phone makers plan to release so-called Wi-Fi phones ahead of schedule more »

Street Access to the Cyberhighway

TCC Teleplex chief Dennis Novick says pay phones with high-speed Net connections in New York City are only the start of its plans more »

Gates Touts 'Modeling' Era For Software

New software modeling systems are breaking out of academia and making their way into Microsoft's product pipeline, the company's chairman said Thursday more »