Wednesday, August 31, 2005
Attorney General Spitzer's Office is in the news again. This time the New York Times is reporting on guilty pleas being entered by two former executives of Security Trust Company. (here) According to a press release issued by the New York Attorney General's Office here, "the former Chief Executive Officer and the former President of an Arizona based trust company have pleaded guilty to state criminal charges in connection with the ongoing investigation of illegal trading practices in the mutual fund industry." The pleas were to "second degree grand larceny, a class C felony, and to a violation of the Martin Act." (description of the Martin Act can be found here on the Corp. Law Blog). These two cases bring Spitzer's total to "nine [ ] pleas since the investigation of illegal trading in the mutual fund industry..."