November 17, 2015 Comments (0) Blog, Securities Fraud

Darren Goodrich Arrested for Securities Fraud

(Last Updated On: November 17, 2015)

Have you suffered losses investing with Darren Goodrich? If so, the securities attorneys of The White Law Group may be able to help you recover your losses by filing a FINRA Dispute Resolution claim.

According to a press release from the U.S. Attorney’s office Eastern District of New York, on Nov. 14, 2015, Darren Goodrich was arrested on charges of securities fraud, wire fraud, and conspiracy to commit securities fraud, mail fraud, and wire fraud. The charges stem from an alleged $300 million market manipulation scheme.

The indictment alleges that between October 2012 and July 2014 that the defendants and others orchestrated two “pump and dump” schemes, defrauding investors in the public companies: CodeSmart, Cubed, StarStream and Staffing Group.

Darren Ofsink, a Manhattan attorney, and Michael Morris, a registered broker and managing director of Halcyon Cabot Partners, were also arrested this month.

Additional defendants who were arrested in July 2014 include Abraxas J. Discala, the Chief Executive Officer of OmniView Capital Advisors LLC, Ira Shapiro, the Chief Executive Officer of CodeSmart Holdings, Inc.; Craig Josephberg, a registered broker; and Kyleen Cane, a Las Vegas attorney and managing partner of Cane Clark LLP.

Three defendants, Marc Wexler, Matthew Bell, and Victor Azrak, who were charged in the underlying indictment, have pleaded guilty and are awaiting sentencing.

According to BrokerCheck, Goodrich was a registered representative of BMA Securities in California from 10/2001 – 10/2015.

The White Law Group is investigating the liability that Darren Goodrich’s employers may have for his actions. Brokerage firms have a legal responsibility to adequately supervise the business activities of their employees. If a broker engages in a scheme that misleads clients the brokerage firm that employs them may be liable for negligent supervision.

If you were a client of Darren Goodrich and would like to discuss your litigation options, please call the securities attorneys of The White Law Group at 312-238-9650 for a free consultation.