Massachusetts – Financial Treason & Crime

Nancy Bilyeau, 17 June 2021

People over 60 were the special targets of COVID-19-related Internet schemes and financial fraud in 2020, with 28 percent of the total fraud losses sustained by seniors, according to the FBI.

These Internet fraud schemes reaped approximately $1 billion in losses purely from seniors in 2020, the FBI said in a report released Tuesday.

“This represents an increase of approximately $300 million in losses reported in 2020 versus what was reported by victims over 60 in 2019,” said the report. Continue reading “Article: Seniors Lost $1 Billion to Cybercrime in 2020: FBI”

04/16/202104/16/2021

Article: Massachusetts May Revoke Robinhood’s Broker-Dealer Registration

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Massachusetts May Revoke Robinhood’s Broker-Dealer Registration

PYMNTS, 16 April 2021

Regulators in Massachusetts are taking steps to pull Robinhood’s broker-dealer license, alleging that the digital trading app lures inexperienced investors and puts their money at risk, Reuters reported. Robinhood responded to the charge with a lawsuit accusing the Commonwealth officials of being “elitist.”

Massachusetts Secretary of State Bill Galvin announced in December 2020 that the state was seeking to revoke Robinhood’s license — and that was before the GameStop trading frenzy. The state instituted changes in its fiduciary rules that took effect in September, prompting the Silicon Valley startup to file a lawsuit in Boston. The company also filed a motion for a preliminary injunction. Continue reading “Article: Massachusetts May Revoke Robinhood’s Broker-Dealer Registration”

04/09/202104/17/2021

Article: Boat-Buying Ponzi Schemer Admits Luring Investors

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Boat-Buying Ponzi Schemer Admits Luring Investors

Brian Dowling, 09 April 2021

A self-professed venture capitalist from Boston admitted Thursday to duping investors with promises of easy, no-risk profits as part of a Ponzi-like fraud scheme that prosecutors say netted him a powerboat.

Tanmaya Kabra pled guilty to four counts of wire fraud before U.S. District Judge Denise J. Casper under a deal with prosecutors, who have agreed to recommend a sentence at the low end of the federal guidelines. Judge Casper scheduled Kabra’s sentencing for Aug. 30. Continue reading “Article: Boat-Buying Ponzi Schemer Admits Luring Investors”

03/24/202103/25/2021

Article: Eight Charged with Conspiring to Distribute Fentanyl and Cocaine and Money Laundering Conspiracy

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Eight Charged with Conspiring to Distribute Fentanyl and Cocaine and Money Laundering Conspiracy

District of Massachusetts, 24 March 2021

BOSTON – Eight people were charged in federal court in Boston in connection with an investigation into a Boston-based fentanyl and cocaine trafficking and money laundering organization.

According to charging documents, a year-long wiretap investigation revealed that the defendants, who were directly connected to a poly-drug trafficking organization operating in Mexico, were actively distributing fentanyl and cocaine and laundering drug proceeds on behalf of a Mexican organization.

“All eyes have been on the COVID pandemic, but the opioid epidemic continues to kill thousands of people in Massachusetts each year,” said Acting United States Attorney Nathaniel R. Mendell. “Prosecuting drug traffickers who profit off of addiction and desperation is essential to save lives, protect the vulnerable and make communities safer. On behalf of all our federal partners, I would like to acknowledge the exceptional work of the Massachusetts State Police in this case. Their investigative skills and commitment to teamwork made this result possible.” Continue reading “Article: Eight Charged with Conspiring to Distribute Fentanyl and Cocaine and Money Laundering Conspiracy”

02/09/202104/15/2021

Article: FINRA GameStop Probe May Put Firms’ Compliance In Focus

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FINRA GameStop Probe May Put Firms’ Compliance In Focus

Al Barbarino, 09 February 2021

The Financial Industry Regulatory Authority is likely investigating the social media activity of brokers tied to the GameStop stock-trading frenzy, which could ultimately lead to scrutiny of firms’ supervisory procedures and require fine-tuning of their compliance policies.

The erratic trading that sent GameStop’s share price soaring to a high of $483 on Jan. 28 before crashing down was fueled in part by a Reddit board where users promoted the stock to counter Wall Street firms that had bet against it. After weeks of wild fluctuations, the stock closed Tuesday at just over $50. Continue reading “Article: FINRA GameStop Probe May Put Firms’ Compliance In Focus”

01/27/202104/24/2021

Article: Something ‘Systemically Wrong’ With GameStop Options Trading, Says Massachusetts Securities Regulator

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Something ‘Systemically Wrong’ With GameStop Options Trading, Says Massachusetts Securities Regulator

Shivdeep Dhaliwal , 27 January 2021

There is something “systemically” wrong in the options trading of the stock of GameStop Corporation GME 0.1%, according to Massachusetts securities regulator, Barron’s reported Tuesday.

What Happened: The Secretary of the Commonwealth of Massachusetts William Galvin told Barron’s that he has kept an eye on the stock. “I’m concerned, because it suggests that there is something systemically wrong with the options trading on this stock.”

The publication is awaiting further clarification from Galvin on the specific nature of the problems in options trading. GameStop shares soared over 134% in regular and after-hours trading and have risen over 678% since 2021 began fueled by a Reddit forum. Continue reading “Article: Something ‘Systemically Wrong’ With GameStop Options Trading, Says Massachusetts Securities Regulator”