Securities Industry Commentator by Bill Singer Esq

Justice Department Announces Charges and Guilty Pleas in Three Computer Crime Cases Involving Significant DDoS Attacks / Defendants Responsible for Creating "Mirai" and Clickfraud Botnets, Infecting Hundreds of Thousands of IoT Devices with Malicious Software (DOJ Press Release) 

[O]n July 25, 2017, U.S. Secret Service agents surveilled the hotel room and observed Langford and two others leave the room. Langford and one of the individuals discarded full trash bags by the hotel's trash area. A search of the bags revealed several uncut sheets of wadded paper with printed images of counterfeit $20 bills.

Later that day, agents observed Langford leave the room and exit the hotel parking lot. Surveillance teams observed him driving erratically, cutting across three lanes of traffic, speeding, entering an intersection, and then making a sudden U-turn. Law enforcement initiated a traffic stop and during a search of Langford, multiple counterfeit $20 Federal Reserve notes were recovered from his wallet. A subsequent search of Langford's hotel room revealed numerous counterfeit notes and the computer media used to manufacture them, along with chemicals commonly used to remove the ink from genuine bills during the counterfeiting process.

[B]aldwin obtained funds from individual investors, as well as from corporate lenders who lent him money for use in business and personal dealings.  Baldwin claimed that compliance officers and professional advisors were affiliated with his firms, when, in fact, no such relationships existed, the indictment states.  Baldwin also deceived the investors and lenders by misrepresenting and minimizing the serious disciplinary actions taken against him by regulators, the indictment states.  The regulatory actions included the revocation of his certifications with the Financial Industry Regulatory Authority in 2009, and a permanent prohibition from offering securities sales or investment advice, which the State of Illinois imposed in 2013.

Baldwin attempted to conceal the scheme by furnishing victims with fraudulent account statements that misrepresented the value of their funds, the indictment states.  Baldwin also lulled his victims by falsely maintaining that he was working on lucrative business deals and developing new contacts that would lead to profits from initial public stock offerings, the indictment states.  In reality, Baldwin knew he could not pay back investors because he had lost or spent their money, the charges allege.

• Securities Industry Commentator
• Bill Singer
• RRBDLaw
• BrokeAndBroker