Monday, August 19, 2013

Sandy "Kingpin" Winick busted in Thailand

Police in Thailand say they have captured the alleged Canadian kingpin of one of the biggest penny stock frauds ever. The FBI confirmed Monday that authorities in the southeast Asian country arrested Sandy Winick 55 during the weekend.

The globetrotting Winick who lived in Toronto and Stoney Creek during the last decade had been on the FBI’s “wanted list” since last week when the agency and the U.S Department of Justice laid fraud charges against him for allegedly masterminding stock and advance fee schemes.
The FBI said the schemes involved the sale and manipulation of billions of shares of worthless securities in a classic “pump and dump” operation where they bought shell companies, promoted them with fictitious news releases and sold shares at highly-inflated prices before the stocks crashed. The FBI said the schemes involved several companies and resulted in $140 million (U.S.) in losses by hundreds of investors in 35 countries.

The FBI charged eight other participants in the alleged scheme, including three more Canadians. Agents arrested two of the Canadians and five Americans but Greg Curry, formerly of Ontario, remains a fugitive. International police have issued a warrant for Curry’s arrest.

If convicted Winick and Curry could face up to 20 years of imprisonment for each count of conspiracy to commit wire fraud as well as up to five years for conspiracy to commit securities fraud.