New York (June 26, 2002) -- Three former executives at software manufacturer AremisSoft Corp., who have since fled the country, have been charged with insider trading, accounting fraud and money laundering.


A fraud indictment filed in federal court here, charges that AremisSoft’s former co-chief executives, Lycourgos Kyprianou and Roys Poyiadjis, along with former company president, M.C. Mathews, conspired to commit shareholder fraud.


If convicted, Kyprianou and Poyiadjis, could each face a maximum 20-year prison sentence. They both remain at large in Cyprus. Mathews, who is staring at a 10-year jail term, is currently at large in India.


For the years 1999 through 2001, the defendants allegedly inflated the company’s stock by creating some $90 million in false earnings and made acquisitions of non-existent software companies.


The scheme resulted in $250 million in insider-trading profits, which court papers charge were subsequently laundered through offshore bank accounts.


AremisSoft, which had been under an SEC investigation, filed for bankruptcy earlier this year.


--Electronic Accountant Newswire staff

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