SEC Says Fox News Commentator Committed Stock Fraud

ezgif.com-resize (7)Regulators say the Fox regular was involved in stock manipulation.

Tobin Smith, a former Fox News commentator, will pay nearly $258,000 to settle Securities and Exchange Commission charges that he fraudulently promoted a penny stock to investors, the regulator said on Tuesday.

The SEC said Smith and his investment research firm NBT Group Inc agreed in May 2012 to tout publicly traded IceWEB Inc, as part of a scheme by the data storage company’s chief executive to inflate its trading volume and stock price.

Smith and NBT did not fully disclose their compensation and incentive fees to investors, and made false and misleading statements intended to boost IceWEB’s stock price, including that it was the “perfect” technology stock and that Facebook Inc was a customer, the SEC said.

Source: Fortune

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