Investors Who Lost Money In Radio Host's Scheme To Get Partial Restitution
September 7, 2010 at 4:56 AM (PT)
The SOUTH FLORIDA SUN-SENTINEL reports that investors who lost their money in schemes operated by former BEASLEY Talk WSBR-A (MONEY/TALK RADIO)/BOCA RATON business news host KEN BROWN may see partial restitution.
A $6 million restitution fund has been set up under attorney KEVIN LOVE to distribute the funds to those who lost $9 million in the fraud, in which BROWN and an employee allegedly would "cherry-pick" winning trades and place the proceeds in their own accounts while putting losing trades in customers' accounts.
The court ordered BROWN to pay $4.5 million in restitution, and three of his companies were also fined $4.5 million. The SEC collected about $6.4 million and will use $6 million of that for restitution.