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Penny Stock Pawnbroker Had a Clever Trick to Get Paid
A sign of a good scam is that it's hard to tell who's being scammed. So here is a charming little story about International Capital Group, which agreed to pay $4.3 million to the Securities and Exchange Commission to settle charges of penny-stock misbehavior. ICG basically ran a pawn shop for penny stocks. Lots of founders/promoters/chief executive officers of tiny public companies own lots of stock in their companies, and not much else. And some of them would like to turn that stock into money. But controlling insiders can't sell their stock without registering the sales with the SEC. This requires things like, you ... (full story)