SEC Charges Eleven in Stock Manipulation Ring

[jurisper]

From the motion to adjust schedule for payment of his $50K fine:

3. By order of May 16, 2011, the Court executed a preliminary order of forfeiture for the Defendant’s banking accounts. As a result of the order of forfeiture signed by the Court on May 16, which became final on May 18, Defendant’s disposable cash was depleted immediately following sentencing.

No idea what was in those accounts.

According to the prosecution's forfeiture motion I think the process is something like this:

- Matt's accounts get taken over by the feds; he loses access to them.
- The feds also rope up ay other property Matt might have which is connected to the criminal acts to which he pled guilty.
- The govt publishes notices & any 3rd party who thinks they have a claim on anything has 30 days to file a petition with the court for a hearing before the judge.
- The other accused are also jointly & severally liable for the $4.8M and similar things happen at some point with their property.
- The feds then hoover up $4.8M of the total value taking all of this together (or all of it if there's not enough), after approved 3rd party claims, and any remaining amount goes back to the defendants in some fashion.