Welcome to Scribd, the world's digital library. Read, publish, and share books and documents. See more
Download
Standard view
Full view
of .
Look up keyword
Like this
2Activity
0 of .
Results for:
No results containing your search query
P. 1
Mitchell Stein Criminal Indictment

Mitchell Stein Criminal Indictment

Ratings: (0)|Views: 515 |Likes:
Published by Martin Andelman
A copy of the criminal indictment for attorney Mitchell Stein, related to his alleged stock and securities fraud.
A copy of the criminal indictment for attorney Mitchell Stein, related to his alleged stock and securities fraud.

More info:

Categories:Types, Research, Law
Published by: Martin Andelman on Dec 21, 2011
Copyright:Attribution Non-commercial

Availability:

Read on Scribd mobile: iPhone, iPad and Android.
download as PDF, TXT or read online from Scribd
See more
See less

12/21/2011

pdf

text

original

 
@
''
r
'.'''
-
'
;)j;jy'E-1;
'
1j4j
.
jj!r);
yj;
y;j;jyr--rjlrrji.
,'
E
,
:
'
'..
-
'
)rjjlijjjj
j
jj.
.
'
.
.'
.
..'.'
-
'.'.'
ll
y
'
-
'.'
r
'
-
'.'
jjr::j!.:
,.
r
t,,jjj:;..)-''.'' ë-ë
'..
y
- ii
I
'.
-
.''..'.
-
-
'
-
.'
- .
lEir2--
-
''.'.
-'-
..
.
'
yal.lh''lrr?q- '
..
.
.
.
.
.
-.
:
..
'--.
:
.
..
--
 '.
'
:'.''' .
'
.
ryè'
.
E ':'li' ' 5:1:'.'i '''7Cl''''1'
.
E..
:j:
) Dec 13, 2011 )
!
'
.
j
'
j
UNITED STATES DISTRICT COURT Ei'
-;
.
,
t.
,
till!'
--
è
.
--.
kk,-'tE!;ii-
y,.,j!j#jy
,!kki't:)'!l1r)''
j.j
-
j;kk,. .
.
.,
,.
k:'
.
,r:.-::!.1t7.-
t r;r.Li
-
:b
ib-,;j
ï
;L
'bfï33L33L''
,.
..
,.
..
(--.(L;-
.
''
k2kl)l!l)rqt'!'!è
-
ryyjd;j;
) -k,.
'..
y,!j,!)l'Ik)-
,,,#j4j' -)-.'.-
.....
'
.
:
.'
SOUTHERN DISTRICT OF FLORIDA r t,.rlr;( ) ,
r
4
:
'''.
(
'.'..'.
.,
'
'
.
' ;
'
. ..
.'.'
II-VZQS-CR-MARRA/HOPKINS
Uzse n 0.
18 U.S.C. j 134918 V.S.C. j 134118 U.S.C. j 1343
18 U.S.C. j 1348
18 U.S.C. j 1957(a)18 U.S.C. j 371
18 U.S.C. j 2
UNITED STATES OF AMERICA,
Plaintiff,
VS.
MITCHELL J. STEIN,
SEALED
Defendant.INDICTMENT
The Grand Jury Charges that:
BACKGROUND
At all times relevant to this lndictment, unless otherwise indicated:Heart Tronics, Inc., formerly doing business as Signalife, Inc. and Recom
Managed Systems, Inc. (collectively Gtsignalifen), was a comoration that pumortedly
manufactured and sold electronic heart monitor products, including a supposed state-of-
the-art heart monitoring device called the Fidelity 100. Signalife was incorporated inDelaware and headquartered in Greenville, South Carolina. Signalife was a publicly
traded company since in or about September 2002. Its stock was listed on the American
Case 9:11-cr-80205-KAM Document 3 Entered on FLSD Docket 12/13/2011 Page 1 of 20
 
Stock Exchange from on or about June 8, 2005, until on or about September 15, 2008,
after which time Signalife stock was listed on the Over-the-counter Bulletin Board.
2. ARC Finance Group LLC (tWRC Finance'') was a limited liability
company incorporated in Delaware and headquartered in Boca Raton, Florida. On or
about September 19, 2002, ARC Finance acquired approximately 85 percent of the stockof Signalife. The wife of defendant MITCHELL J. STEIN was the nominal owner of
ARC Finance.
3.Defendant MITCHELL J. STEIN was a licensed attorney who was outside
counsel for Signalife.STEIN resided in Boca Raton, Florida and Hidden Hills,
California.
4.Co-conspirator 1 was a handyman and STEIN'S chauffeur who resided inBoca Raton, Florida. Co-conspirator 1 purported to be, at various times, the co-chief
Technology Officer of Signalife and a consultant for Signalife.
The United States Securities and Exchange Commission (the GCSEC'') was
an independent agency of the United States responsible for enforcing federal securities
laws, which are designçd to provide the investing public with full disclosure of all
material facts regarding matters involving the offer, purchase, and sale of securities.These laws protect the investing public in the purchase of stock that is publiclydistributed by maintaining fair and honest security markets and eliminating manipulative
practices that tend to distort the fair andjust price of stock.
2
Case 9:11-cr-80205-KAM Document 3 Entered on FLSD Docket 12/13/2011 Page 2 of 20
 
COUNT ONE
(Conspiracy to Commit Mail Fraud and Wire Fraud)
Overview of the Fraudulent Scheme
6.As explained more fully below, from in or about July 2005 through in orabout July 2010, STEIN and others perpetrated a scheme to defraud Signalife investors
by, among other things: (1) artiicially inflating the price and demand for Signalife stock;
(2) concealing their ownership and trading of Signalife stock; (3) misappropriating
Signalife's assets; and (4) testifying falsely to the SEC to conceal their conduct.
7.STEIN and his co-conspirators intlated artificially the price and demand for
Signalife stock by misrepresenting Signalife's operations and finances, including
information regarding the sale of Signalife products. Among other things:a. STEIN and his co-conspirators created false purchase orders and
purchase order confirmations that purportedly were from Signalife's
customers.
b. STEIN and his co-cohspirators created false change of address noticesthat pumortedly were from Signalife's customers.c. STEIN and his co-conspirators caused the issuance of false andmisleading press releases claiming that Signalife had received orders to
purchase its products.
d. STEIN and his co-conspirators orchestrated the submittal of false andmisleading filings to the SEC regarding Signalife's sales and shipment
of products.
Case 9:11-cr-80205-KAM Document 3 Entered on FLSD Docket 12/13/2011 Page 3 of 20

Activity (2)

You've already reviewed this. Edit your review.
1 thousand reads
1 hundred reads

You're Reading a Free Preview

Download
scribd
/*********** DO NOT ALTER ANYTHING BELOW THIS LINE ! ************/ var s_code=s.t();if(s_code)document.write(s_code)//-->