According to the SEC, registered representatives Matthew Bell and Craig Josephberg were involved in an elaborate pump and dump scheme.
The U.S. Securities and Exchange Commission (SEC) accuses Matthew Bell and Craig Josephberg, along with three other individuals, of participating in a sophisticated pump and dump scheme involving three companies between 2013 and 2014. The SEC alleges that the scheme generated millions of dollars through illegal means.
Matthew A. Bell (CRD# 3091864) and Craig L. Josephberg (CRD# 2709288) were registered representatives at the time of the alleged misconduct. Bell was most recently registered with Securities America and Josephberg with Meyers Associates.
According to the SEC Complaint, Abraxas Discala, CEO of OmniView Capital Advisors, and Marc Wexler, President of OmniView, allegedly approached Bell and Josephberg and asked them to help inflate the stock price of CodeSmart Holdings. All four of them allegedly planned to profit by selling their personal shares high at the expense of the brokerage firm clients. A fifth individual, Ira Shapiro, CEO of CodeSmart, also allegedly participated in the scheme by making misleading statements on multiple occasions regarding stock price and volume.
The SEC accuses Bell and Josephberg, among other things, of failing to disclose to their customers that they had financial incentives to buy and recommend shares of CodeSmart, and acting improperly by recommending the investment knowing that the price had been inflated through manipulation.
Want more information about Pump and Dump Scams? Read Meyer Wilson’s helpful article on “How Pump and Dump Scams Work.” You can also contact Meyer Wilson for a free review of your case if you believe that you are the victim of a similar type of misconduct to what Josephberg and Bell are accused of.
Learn more about pump and dump scams in our video.