There was a scheme recently uncovered to manipulate the stock of a company. Apparently, certain conspirators sought to drive up the stock price of this particular company by secretly buying a lot of shares worth some $650 million over a two-year period.
The goal of the scheme was to sell the company's shares at an inflated price. This plan concealed the source of stock purchases by using phony companies and more than 100 brokerage accounts. The plotters drove up stock prices by slowly buying 55 percent of the company, using money from companies and investors all over the country. One thing was certain. It was not clear that most of those investors even knew the nature of the scheme.
Register or login for access to this item and much more
All Accounting Today content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access