$1 Million Made from Net Scam

By Sushuma February 25, 2000 11:03 AM

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(AP)-Two men exploited "the dark side of the internet" when they made more than $1 million by driving up the value of penny stocks with a flood of emails disguised as if they had been sent by AOL, a prosecutor said Thursday.?"Determined fraudsters can swindle a virtual audience by taking large positions in thinly traded stocks, disseminating hundreds of thousands of spam emails touting these stocks and then sell them into the fraudulently created market they have created," said US Attorney Mary Jo White.?She also said the method of cheating investors was similar to what goes on in so-called boiler rooms, where dozens of stock borkers at a time pitch stocks to investors to drive up prices.?Read more...

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