Author of Bogus Press Release Busted

Share this article:
A day trader who posted a fraudulent press release regarding Lucent Technologies earnings was arrested last week and could face a sentence of up to 10 years. The release, posted on a Yahoo message board as well as on a Lucent bulletin board, drove the stock down 3.6 percent. It claimed that Lucent was failing to meet expectations for its second-quarter earnings. Fred Moldofsky, the accused trader, allegedly posted the press release 20 times under various names.

This material may not be published, broadcast, rewritten or redistributed in any form without prior authorization. Your use of this website constitutes acceptance of Haymarket Media's Privacy Policy and Terms & Conditions