Leonid Momotok Pleads Guilty to Conspiracy to Commit Wire Fraud
On August 2, 2016, Leonid Momotok of Suwanee, Georgia pled guilty before United States Magistrate Judge Ramon E. Reyes, Jr. in United States District Court for the Eastern District of New York to one count of conspiracy to commit wire fraud.
The criminal charges against Momotok arose out of the same conduct alleged by the SEC in a civil securities fraud action filed in August 2015. The SEC’s amended complaint alleges that Momotok and over 30 other defendants participated in a far-reaching fraudulent scheme, buying and selling stock over approximately five years on the basis of hacked press releases stolen from three newswire services. The SEC has recovered over $52 million and obtained full injunctive relief from the 11 defendants who have agreed to settlements in its case.
The SEC’s action against Momotok, which remains pending, seeks an injunction against Momotok for violating the federal securities laws, disgorgement and prejudgment interest of allegedly unlawful trading profits, and civil penalties.
For further information about this securities law blog post, please contact Brenda Hamilton, Securities Attorney at 101 Plaza Real S, Suite 202 N, Boca Raton, Florida, (561) 416-8956, by email at [email protected] or visit www.securitieslawyer101.com. This securities law blog post is provided as a general informational service to clients and friends of Hamilton & Associates Law Group and should not be construed as, and does not constitute legal advice on any specific matter, nor does this message create an attorney-client relationship. Please note that the prior results discussed herein do not guarantee similar outcomes.