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SEC Charges Former CEO of Jumio Inc. with Defrauding Investors
- gringoDan 8y agoFor those who don't want to read the press release, it's Daniel Mattes, former CEO of Jumio Inc. He agreed to pay more than $17 million to settle the charges
- caprese 8y ago> Mattes, an Austrian citizen who now heads a private Austria-based company, has agreed to be enjoined from future similar violations and barred from being an officer or director of a publicly traded company in the U.S. Pays back money + 25%, 4 years later, sternly told not to do the same fraudulent thing in a market he never operates in. Thats... amazing. I really need the privilege of a European Union citizenship.
- dragontamer 8y agoThe SEC enforcement arm doesn't have much outside of debarment and fines. Because any fraud committed by a CEO (or other executive position) can be solved by simply removing them from the position. You really can't commit fraud vs investors if you aren't the CEO (or other major position of power).
- dragonwriter 8y ago> The SEC enforcement arm doesn't have much outside of debarment and fines. The heavy lifting is done by criminal referral to DOJ; other federal agencies don't get to do criminal prosecution even when they are the frontline enforcement agency for a law with criminal penalties. Criminal referrals tend to be slower than SEC civil enforcement action (especially settlements), so if they happen behind the scenes, you won't necessarily know about them until later.
- charlesdm 8y agoSince the SEC can't enforce actions outside of their jurisdiction, this actually makes total sense.
- trhway 8y agojust load the guy on the plane and charge him the moment the plane enters the US airspace ...
- ljm 8y agoWhat would your reaction be if, for example, an EU country detained and prosecuted a US CEO? Should they be allowed or should they be returned home and charged by their own government?
- the_mitsuhiko 8y agoThe guy in question lives in the US.
- CPLX 8y agoSteal 17 million dollars from investors, literally not a day in jail. Steal 17 dollars from a department store and see how that goes. Welcome to America.
- rokob 8y agoTo be fair, this is just what the SEC can do. DOJ can still file charges that lead to jail but they take longer.
- JumpCrisscross 8y ago> Steal 17 million dollars from investors, literally not a day in jail We saw similar comments following the SEC fining Elizabeth Holmes. Criminal investigations take longer than civil proceedings, and the SEC doesn't have the power to bring the former.
- CPLX 8y agoElizabeth Holmes is in jail?
- estro 8y agoNo(t yet): https://en.wikipedia.org/wiki/Elizabeth_Holmes#Criminal_charges https://en.wikipedia.org/wiki/Elizabeth_Holmes#Criminal_char...
- dragonwriter 8y agoShe's currently out on $500,000 bail while the criminal charges against her proceed, but prison time is at issue with the charges.
- willio58 8y agoPshh 17 million? Try the entire housing market collapse 11 years ago that sent the U.S. economy into a recession. I think one guy was put behind bars IIRC? Now _thats_ America.
- Not_a_pizza 8y agoShouldn't the truth be closer to nearly all CEOs defrauding investors? Don't get me wrong, many companies do provide a cost effective commodity given present society, but when CEOs are paid 500 times regular employees, who's the real winner?
- Gibbon1 8y agoYeah CEO's in the US have been on a looting spree for the last 30-40 years.
- dawhizkid 8y agoConfused why there are being labeled a "mobile payments company." I thought Jumio was an identity verification service?
- the_mitsuhiko 8y agoI think their original pitch was that they had an OCR service for credit cards. It's still on the website: https://www.jumio.com/id-verification/bam-checkout/ https://www.jumio.com/id-verification/bam-checkout/