The Small Business Company (fka SBCO)

[fuchsit48]

pleaded guilty to conspiracy to commit security fraud...


Thanks for the PM. Now I wonder where does this company go from here. Why did the feds ever allow her to run a company while she was under indictment for fraud?

http://www.justice.gov/usao/ma/news/2013/May/JordanandPrangeconviction.html


BOSTON – The chief executive officer of California-based Vida Life International, Ltd., and a self-described financing consultant to small and emerging companies were convicted today for their role in a securities fraud scheme.

John C. Jordan, 62, of Cameron Park, California, and James Prange, 62, of Greenbush, Wisconsin, were convicted following an eight-day jury trial. Jordan was convicted of conspiracy to commit securities fraud, four counts of wire fraud, and mail fraud. Prange was convicted of three counts of conspiracy to commit securities fraud and eight counts of wire fraud for his role in transactions involving Vida Life and two other publicly- traded companies, China Wi-Max Communications, Inc., and the Small Business Company, Inc. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for August 8, 2013.

Last month, executives of those companies pleaded guilty to conspiracy to commit security fraud for their roles in the scheme. Steven Berman, 50, of Hillsboro, Ohio was the chief executive officer of China Wi-Max; Karen Person, 62, of Las Vegas, Nevada, was the chief executive officer of the Small Business Company, Inc.; and Richard Kranitz, 69, of Grafton, Wisconsin, was a board member and lawyer for China Wi-Max.

The defendants were convicted for their roles in a conspiracy to pay secret kickbacks to an investment fund representative in exchange for having the investment fund buy stock in publicly-traded companies that traded on the over-the-counter securities market. The kickbacks were concealed through the use of sham consulting agreements and other fraudulent documents. What the defendants did not know was that the purported investment fund representative was actually an undercover agent with the Federal Bureau of Investigation.