Northport Securities Law Blog

Elon Musk accused of violating securities fraud agreement

On behalf of Timothy J. Dennin, P.C. posted in securities fraud on Thursday, April 25, 2019.

Elon Musk has made national and international headlines for his innovative electric car company, Tesla. While many drivers in New York are familiar with the types of vehicles manufactured by the company, some might be surprised to learn that its founder and CEO is facing criminal charges. Accused of violating a securities fraud agreement, Musk could have to fork out a significant fine.

On Feb. 19, 2019, Musk tweeted that this year Tesla would manufacture 500,000 vehicles. However, at the time that he wrote that tweet Tesla was slated to only produce 400,000 vehicles by the end of 2019. A few hours later he sent out another tweet stating that he meant the company would produce half a million vehicles over the period of 12 months, but the damage was apparently already done.

What is securities fraud?

On behalf of Timothy J. Dennin, P.C. posted in securities fraud on Monday, April 15, 2019.

For some people, criminal charges can come as an unexpected interruption in their lives. Unlike other types of charges that might be self-evident, allegations of securities fraud can be somewhat more confusing. New York defendants who are facing securities fraud charges and want to know more about these types of allegations should take some of the following into account.

In some instances, securities fraud involves a person making a false statement or claim about a certain company that leads others to make financial decisions. These false statements could be in relation to a company's stock value or other financial indicators. However, securities fraud can also cover insider trading. When company executives, board members or other people with access to information that is not yet public trade or sell stocks, it is generally considered insider trading.

How do ethics apply in your business?

On behalf of Timothy J. Dennin, P.C. on Friday, April 12, 2019.

International speaker, trainer and author, John Maxwell teaches business leaders that there is no such thing as business ethics. The underlying premise is that you have ethics, or you don’t; this will be reflected in the manner in which you run your business.

In light of recent allegations relating to Roundup causing cancer, you might wonder whether corporate officers at Monsanto, the makers of the herbicide, truly believe their product is safe. Many would say the company is more concerned with selling their product. However, recently held accountable for malfeasance, Monsanto’s situation may make you reflect on corporate wrongdoing in general.

The repercussions of fraudulent activity can be widespread

On behalf of Timothy J. Dennin, P.C. on Sunday, March 17, 2019.

When you put your money in a bank, you probably trust it will be safe. You might keep some money in your accounts to earn some interest. And knowing that your money is insured may give you peace of mind.

Banks can also lend you money. Whether it is to purchase a home or start a business, you might need to borrow funds. But could your borrowed money result in serving time?

Festival Scheme Burns Investors Of More Than $26 Million

On behalf of Timothy J. Dennin, P.C. posted in blog on Thursday, January 31, 2019.

The chronic con-man and co-founder of the disastrous 2017 Fyre Festival, Billy McFarland, was recently sentenced to six years in prison with three years' probation along with $26 million in legal reparations. After pleading guilty for defrauding festival investors, McFarland was found guilty for setting up yet another fraudulent company in the wake of the scandal.

Recognizing When An Investment Opportunity May Be A Scam

On behalf of Timothy J. Dennin, P.C. posted in securities fraud on Wednesday, January 30, 2019.

There have been an uptick in the number of investment opportunities promising high returns for almost no risk.

Recognizing financial abuse of elders: What to look for

On behalf of Timothy J. Dennin, P.C. posted in blog on Thursday, December 20, 2018.

Not all elder abuse is physical. Seniors face an increased risk of financial abuse. As they age, their mental state may decline, leaving them susceptible to exploitation. This occurs when someone takes advantage of a senior citizen who may be physically or mentally incapacitated.

New Target: Annuities Sales Fraud

On behalf of Timothy J. Dennin, P.C. on Friday, November 16, 2018.

Annuities are a helpful financial tool to secure your finances and create a dependable source of income. Programs such as Social Security provide continued cash flow through annuities for seniors after they retire from the workforce. They can also allow you to provide for your grandchildren in the future.

Despite how helpful and generally low-risk annuities are, their sales have decreased in past years. Annuities themselves do not seem to be the problem. What seems to be the issue are the reports of increasing fraud cases involving annuities since 2015.

How to know if an investment is suitable

On behalf of Timothy J. Dennin, P.C. on Friday, October 26, 2018.

Investing provides a way to increase your money, save for retirement and help you reach financial goals. Of course, not all investments are created equal. Some investments prove more lucrative, and some investments are unwise. Here are some ways to determine if you are making a sound investment.

Investment scheme defrauded investors of more than $345 million

On behalf of Timothy J. Dennin, P.C. on Saturday, September 22, 2018.

The Securities and Exchange Commission (SEC) shut down a Ponzi-like scheme that defrauded anywhere from 200 to 400 investors across the country. The group cheated people out of more than $345 million, according to the SEC’s website.

The group included Kevin B. Merrill, Jay B. Ledford and Cameron Jezierski. Merrill is from Maryland, and the two other men are from Texas. The men promised to buy credit card and student loan debt and then resell it to third party debt buyers. By flipping the debt, they promised investors substantial profits.